7 of tourism

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What Are The 7 Sectors Of Tourism

Published: December 12, 2023

Modified: December 28, 2023

by Mable Roldan

• Travel Guide

Introduction

Welcome to the exciting world of tourism! As travel enthusiasts, we often embark on journeys to discover new destinations, experience different cultures, and create unforgettable memories. But have you ever wondered about the various sectors that make up the tourism industry? Understanding these sectors can help us gain insight into the complex web of services and experiences that come together to create the perfect travel experience.

The tourism industry encompasses a wide range of activities and services, all aimed at providing travelers with comfortable and enjoyable experiences. These sectors work harmoniously to ensure that every aspect of a trip, from accommodation to transportation and beyond, is well taken care of. In this article, we will explore the seven key sectors of tourism, each playing a vital role in the overall travel experience.

From finding the perfect place to stay, to indulging in delectable local cuisine, to getting around efficiently, each sector offers unique services and experiences that contribute to the overall success of a trip. So, let’s dive into the world of tourism sectors and discover how they come together to create unforgettable journeys!

Accommodation Sector

The accommodation sector is a fundamental pillar of the tourism industry, providing travelers with a home away from home during their travels. This sector comprises a diverse range of options, ranging from luxurious hotels and resorts to budget-friendly hostels and vacation rentals.

Accommodation providers strive to ensure that guests have a comfortable and pleasant stay by offering a variety of amenities and services. From well-appointed rooms and spacious suites to 24/7 reception and room service, the accommodation sector aims to meet the needs and preferences of all types of travelers.

In recent years, there has been a remarkable surge in alternative accommodation options such as home-sharing platforms like Airbnb, allowing travelers to rent unique properties directly from homeowners. This trend has provided travelers with a wider range of choices and the opportunity to experience local neighborhoods and cultures more authentically.

Additionally, sustainability and eco-consciousness have become important factors in the accommodation sector. Many establishments are implementing eco-friendly practices, such as energy-efficient lighting and recycling programs, to reduce their environmental impact and attract guests who prioritize sustainable tourism.

Furthermore, technology has played a significant role in enhancing the accommodation sector. Online booking platforms and mobile apps have made it easier than ever for travelers to research, compare, and book accommodations, providing a seamless experience. The use of keyless entry systems and personalized mobile concierge services have also become popular, allowing guests to have a hassle-free and customized stay.

Whether it’s a cozy bed and breakfast nestled in a charming countryside or a luxurious beachfront resort with stunning ocean views, the accommodation sector offers a wide range of options to suit every budget, preference, and travel style.

Food and Beverage Sector

The food and beverage sector is a vital component of the tourism industry, as it provides travelers with culinary experiences that reflect the local culture and traditions of a destination. This sector encompasses a wide range of establishments, including restaurants, cafes, bars, food trucks, and street food vendors.

One of the highlights of travel is indulging in diverse cuisines and trying new flavors. The food and beverage sector caters to these cravings by offering a plethora of dining options, from upscale fine dining restaurants to casual eateries serving traditional local dishes. Travelers can savor authentic flavors, culinary masterpieces, and innovative fusions that highlight the region’s unique gastronomy.

Many destinations are known for their vibrant food scenes, with local markets and street food stalls offering a rich tapestry of flavors and aromas. Exploring local markets and trying street food can be a memorable and immersive experience, allowing travelers to get a taste of the authentic culinary culture of a place.

The food and beverage sector also caters to specific dietary needs and preferences. With an increasing number of people following vegetarian, vegan, or gluten-free diets, many establishments now offer diverse menu options to accommodate various dietary requirements. This inclusivity ensures that travelers with dietary restrictions can still enjoy delicious meals and be part of the culinary exploration.

Moreover, the sector has witnessed a rising trend of farm-to-table dining and emphasis on local, sustainable ingredients. Restaurants and cafes are partnering with local farmers, growers, and producers to source fresh, seasonal ingredients, supporting the local economy and reducing the carbon footprint associated with long-distance food transportation.

Technology has also made its mark on the food and beverage sector, with online restaurant reviews, recommendations, and food delivery apps allowing travelers to discover and enjoy the best dining experiences effortlessly. Additionally, some establishments employ innovative concepts like interactive dining experiences, fusion cuisines, and molecular gastronomy, aiming to provide unique and memorable meals that go beyond traditional dining.

From savoring Michelin-starred delicacies to sampling street food treasures, the food and beverage sector offers a diverse and enticing array of culinary experiences for travelers to delight their taste buds and create lasting memories.

Transportation Sector

The transportation sector is an essential component of the tourism industry, connecting travelers to their desired destinations. It encompasses various modes of transportation, including air travel, train and rail services, bus and coach services, cruises, and car rentals.

Air travel is a major player in the transportation sector, providing international and domestic flights that enable travelers to reach their destinations quickly and efficiently. Airlines strive to offer comfortable seating, in-flight entertainment, and quality service to enhance the overall travel experience. With the expansion of low-cost carriers, air travel has become more accessible and affordable, driving tourism growth around the world.

Train and rail services are another popular mode of transportation, especially for intercity travel and scenic journeys. Traveling by train allows passengers to enjoy stunning landscapes, experience local culture, and connect with different regions or countries in a convenient and sustainable way.

Bus and coach services provide economical transportation options for both urban and rural areas. They are often preferred by budget-conscious travelers or those seeking a more immersive experience, as they allow passengers to interact with locals and witness the changing landscapes along the journey.

Cruise tourism has also gained popularity, offering unique travel experiences on sea voyages. Cruise ships provide a floating resort-like experience, with amenities such as restaurants, entertainment venues, and recreational activities, while allowing travelers to explore different destinations without the need for constant packing and unpacking.

Car rentals give travelers the freedom to explore at their own pace, particularly in destinations with extensive road networks and scenic drives. Renting a car allows for flexibility and the opportunity to venture off the beaten path, discovering hidden gems and experiencing a more personalized travel itinerary.

Advancements in technology have revolutionized the transportation sector, making it more convenient and accessible for travelers. Online platforms and mobile apps allow for seamless booking and ticketing, real-time travel updates, and navigation assistance. Ride-hailing services have also gained popularity, providing an alternative mode of transportation in urban areas.

Transportation plays a crucial role in shaping a traveler’s overall experience, as it sets the tone for their journey and connects them to the various attractions and activities of a destination. Efficient and well-connected transportation networks contribute to the accessibility and attractiveness of a place, making it easier and more enjoyable for travelers to explore and immerse themselves in new cultures and experiences.

Travel Agency Sector

The travel agency sector plays a pivotal role in the tourism industry, acting as a bridge between travelers and their dream destinations. Travel agencies provide valuable services and expertise to help travelers plan and organize their trips, ensuring a smooth and hassle-free experience.

Travel agencies serve as a one-stop-shop for all travel-related needs. They assist travelers in selecting destinations, finding the best deals on accommodations, arranging transportation, and curating itineraries based on individual preferences and budgets. Whether it’s a solo adventure, a family vacation, a romantic getaway, or a group tour, travel agencies cater to a wide range of travel styles and requirements.

These agencies maintain relationships with airlines, hotels, tour operators, and other service providers, enabling them to secure discounted rates and exclusive packages for their clients. They have firsthand knowledge of destinations, attractions, and local customs, allowing them to offer valuable advice and recommendations to travelers.

In addition to organizing the logistics of a trip, travel agencies often specialize in specific types of travel experiences. They may focus on adventure travel, luxury vacations, cultural immersion, or niche markets like eco-tourism or culinary tours. This specialization allows them to provide expert guidance tailored to the specific interests of their clients.

With the rise of online travel booking platforms, some may question the relevance of travel agencies. However, travel agencies still hold a significant advantage with their personalized service and expertise. They can offer valuable insights and recommendations, handle complex itineraries, and provide support in the event of any unexpected issues during the trip.

Furthermore, travel agencies often offer additional services such as travel insurance, visa assistance, and 24/7 customer support. These added benefits alleviate the stress and uncertainties that can arise when planning and embarking on a journey, giving travelers peace of mind.

In recent years, travel agencies have also embraced technology to enhance their services. Many agencies have online platforms where travelers can research, compare, and book travel services. They utilize social media and content marketing strategies to inspire and engage potential clients, sharing travel tips, destination highlights, and special offers.

Overall, the travel agency sector plays a vital role in facilitating seamless and enjoyable travel experiences. Their expertise, personalized service, and access to exclusive deals make them valuable partners for travelers seeking professional assistance and guidance in planning their adventures.

Adventure and Recreation Sector

The adventure and recreation sector of the tourism industry caters to thrill-seekers and outdoor enthusiasts, offering a wide range of exciting activities and experiences. This sector is perfect for those looking to step out of their comfort zone, immerse themselves in nature, and create unforgettable memories.

Adventure tourism encompasses activities such as hiking, mountaineering, rock climbing, zip-lining, white-water rafting, and paragliding, among others. These activities provide a unique opportunity to explore natural landscapes, challenge oneself physically and mentally, and appreciate the beauty and wonders of the great outdoors.

Recreation tourism, on the other hand, focuses on leisure and relaxation. This sector includes activities such as beach vacations, golfing, spa retreats, wellness retreats, and wildlife safaris. Recreation tourism offers a chance to unwind, rejuvenate, and engage in activities that promote overall well-being and tranquility.

While adventure and recreation activities differ in their nature, both sectors contribute to sustainable tourism by raising awareness about environmental conservation and supporting local communities. Many adventure tourism operators and recreational facilities follow sustainable practices, ensuring the preservation of natural resources and the protection of delicate ecosystems.

Adventure and recreation tourism also provide economic opportunities for local communities. These activities often require specialized guides, equipment rental services, and accommodation facilities, creating employment and generating income for the host destinations.

Technology has played a significant role in the growth of the adventure and recreation sector. Online platforms and mobile applications make it easier for travelers to research and book activities, access trail maps, and connect with local guides. Adventure and recreation companies often leverage social media platforms to showcase their offerings and inspire potential travelers.

The adventure and recreation sector offers a diverse range of experiences, catering to a variety of interests and skill levels. Whether it’s summiting a mountain peak, scuba diving in a vibrant coral reef, or simply enjoying a peaceful yoga retreat, this sector ensures that travelers can find activities that align with their preferences and desired level of excitement.

It’s important to note that safety and responsible tourism practices are essential in the adventure and recreation sector. Travelers should choose licensed operators, follow guidelines provided by professionals, respect the environment, and prioritize their own safety and well-being while engaging in adventurous activities. This ensures a positive and sustainable experience for both travelers and the destinations they visit.

Events and Conferences Sector

The events and conferences sector of the tourism industry plays a pivotal role in bringing together professionals, enthusiasts, and like-minded individuals from various fields. This sector is responsible for organizing and hosting a wide range of events, conferences, trade shows, and exhibitions that contribute to knowledge-sharing, networking, and business growth.

Events and conferences serve as platforms for professionals to exchange ideas, showcase innovations, and discuss current trends in their respective industries. They provide opportunities for networking, collaboration, and learning, fostering professional development and driving innovation.

The sector encompasses a diverse range of events, including academic conferences, industry exhibitions, music festivals, sports competitions, cultural festivals, and trade shows, among many others. These events attract participants from different parts of the world, contributing to the economic growth of the host destination.

Events and conferences often require specialized infrastructure and facilities, such as convention centers, exhibition halls, and hotels with conference facilities. These venues provide the necessary space, technology, and amenities to accommodate large gatherings and ensure the smooth execution of events.

The events and conferences sector contributes to the tourism industry by boosting visitor numbers, filling hotel rooms, and driving revenue for local businesses such as restaurants, transportation services, and event vendors. Host destinations often see a surge in tourism during major events, as attendees explore the local attractions and contribute to the local economy.

Technology has played a significant role in enhancing the events and conferences sector. Virtual conferences and hybrid event formats have gained popularity, allowing participants to attend events remotely, reducing travel expenses and environmental impact. Event management software, mobile apps, and online registration systems have streamlined event organization, making it easier for attendees to access event information, sign up for sessions, and engage with other participants.

It’s important to note that the events and conferences sector is not limited to business-related gatherings. Cultural festivals, music concerts, and sporting events also fall under this sector, offering unique experiences that celebrate art, music, sports, and local traditions.

A well-executed event or conference can leave a lasting impact on participants, fostering professional connections, knowledge exchange, and inspiration. By bringing people together, this sector contributes to the growth and development of various industries and promotes cultural exchange and mutual understanding.

Tourism Services Sector

The tourism services sector is a vital component of the overall tourism industry, providing a wide range of support services to both travelers and businesses operating within the tourism sector. This sector encompasses various services that enhance the travel experience and contribute to the seamless operation of the industry.

One of the key services in this sector is tourism information and assistance. Tourism information centers, both physical and virtual, provide valuable resources and guidance to travelers, offering information about destinations, attractions, accommodation options, transportation, and activities. These centers play a crucial role in helping travelers plan their itineraries and make informed decisions.

Another important aspect of the tourism services sector is travel insurance. Travel insurance provides coverage for unexpected events such as trip cancellations, medical emergencies, lost baggage, and travel interruptions. It offers peace of mind to travelers, ensuring that they are protected from unforeseen circumstances that may disrupt their travel plans.

Visa assistance is another significant service within this sector. Many destinations require travelers to obtain visas before entry, and navigating the visa application process can be complex and time-consuming. Visa assistance services, whether provided by travel agencies or specialized companies, help travelers understand the requirements, gather the necessary documentation, and facilitate the visa application process.

Translation and interpretation services are also essential in the tourism services sector, particularly in destinations where the local language may be a barrier for some travelers. These services ensure effective communication between travelers and local residents, allowing for a smoother and more immersive experience.

Additionally, currency exchange services play a vital role in facilitating financial transactions for travelers. The ability to exchange currencies conveniently and at fair rates ensures that travelers have access to the local currency for their expenses during their trip.

Technology has transformed the tourism services sector, making these services more accessible and convenient. Mobile applications, online platforms, and virtual assistants provide travelers with instant access to information, assistance, and services. Many travel service providers offer online booking options and 24/7 customer support, allowing travelers to make reservations and address any queries or concerns at their convenience.

The tourism services sector acts as a backbone for the overall tourism industry, ensuring that travelers have access to the necessary support, information, and services they need throughout their journey. By providing valuable assistance and enhancing the travel experience, this sector plays a vital role in fostering customer satisfaction and driving the growth of the tourism industry as a whole.

The tourism industry is a complex and multifaceted sector, composed of various interconnected sectors that work together to provide unforgettable travel experiences. From accommodations and food to transportation and events, each sector plays a crucial role in shaping the overall travel experience and contributing to the success of the tourism industry.

The accommodation sector ensures that travelers have a comfortable and enjoyable place to stay, offering a wide range of options to suit every preference and budget. The food and beverage sector tantalizes taste buds with diverse cuisines and culinary experiences, reflecting the local culture and traditions of a destination.

The transportation sector connects travelers to their desired destinations, providing convenient and efficient modes of travel. Travel agencies serve as invaluable resources, offering expertise and assistance in planning and organizing trips, while the adventure and recreation sector caters to thrill-seekers and outdoor enthusiasts craving adrenaline-pumping experiences.

Events and conferences bring professionals together, fostering knowledge sharing, networking, and innovation. Finally, the tourism services sector provides essential support services such as information and assistance, travel insurance, visa facilitation, translation and interpretation, and currency exchange.

Technology has revolutionized the tourism industry, making information and services more accessible, convenient, and personalized. Online booking platforms, mobile apps, and virtual assistance have transformed the way travelers research, plan, and book their trips.

In conclusion, understanding the various sectors of the tourism industry allows us to appreciate the intricate web of services that work harmoniously to create remarkable travel experiences. Whether it’s relaxing in a luxurious hotel, savoring local delicacies, exploring beautiful landscapes, attending a conference, or receiving helpful assistance, each sector contributes to the success and enjoyment of a trip. By recognizing the importance of these sectors and embracing technology’s advancements, we can continue to enhance and evolve the tourism industry and provide unforgettable experiences for travelers around the world.

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8 types of tourism that you need to know

The three tourism categories, domestic tourism, inbound tourism, outbound tourism, the 8 types of tourism according to motivation, business tourism.

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What are the 7 characteristics of tourism?

1. movement of people, 2. temporary stay, 3. leisure and pleasure, 4. interaction with the environment, 5. economic impact, 6. seasonality, 7. voluntary activity, 1. how do the characteristics of tourism differ from regular travel, 2. can tourism have a negative impact on the environment, 3. are all tourism activities for leisure and pleasure, 4. how does tourism contribute to the local economy, 5. what challenges does seasonality pose to the tourism industry, 6. is tourism a sustainable form of economic development, 7. how does tourism promote cultural exchange, 8. can tourism contribute to the preservation of natural environments, 9. are there any limitations to the temporary nature of tourism, 10. how does technological advancement impact tourism, 11. what factors influence the choice of a tourist destination, 12. can tourism help alleviate poverty in developing countries, what are the 7 characteristics of tourism.

Tourism is a dynamic and ever-growing industry that plays a crucial role in the economic development of many countries. The concept of tourism involves visiting places outside one’s usual environment for leisure, pleasure, and business purposes. To fully understand the significance of tourism, it is essential to identify its key characteristics that differentiate it from other forms of travel. Here are the seven primary characteristics of tourism:

One of the fundamental aspects of tourism is the movement of people. Whether it’s for a weekend getaway or an overseas adventure, tourism requires individuals to leave their usual place of residence and travel to another destination. This movement can be within the same country or internationally, involving the use of various modes of transportation such as planes, trains, or cars.

Tourism involves a temporary stay at the destination. Unlike permanent migration, tourists visit a place for a limited period. This duration can range from a few days to several weeks, depending on the purpose and nature of the trip. The temporary nature of tourism distinguishes it from activities that involve permanent settlement.

One of the primary motives behind tourism is leisure and pleasure. People travel to relax, escape from their daily routines, and experience enjoyment and entertainment. Whether it’s visiting famous landmarks, lounging on serene beaches, or exploring natural wonders, leisure and pleasure remain at the core of tourism experiences.

Tourism often involves interaction with the natural environment, cultural heritage sites, and local communities. Tourists have the opportunity to explore diverse ecosystems, experience different cultural traditions, and engage with the local population. This interaction promotes cultural exchange, environmental awareness, and appreciation for the uniqueness of different destinations.

Tourism has significant economic implications for both the destination and the home countries of tourists. It generates revenue through various channels, including accommodation, transportation, food and beverage services, and recreational activities. The economic impact of tourism can create job opportunities, stimulate local businesses, and contribute to overall economic growth.

Seasonality is another characteristic of tourism. The demand for tourism services typically fluctuates based on different seasons, holidays, and events. Destinations often experience peak seasons when the number of tourists surges, causing a significant impact on the local economy. Conversely, the off-peak seasons may witness a decline in tourist arrivals, leading to reduced business activity.

Unlike other forms of travel that may be mandatory or work-related, tourism is a voluntary activity. Individuals choose to participate in tourism activities based on their personal interests, preferences, and financial capabilities. This voluntary aspect makes tourism a platform for individuals to explore and fulfill their leisure aspirations.

Frequently Asked Questions about the Characteristics of Tourism

Regular travel may involve commuting for work or other mandatory reasons, while tourism is driven by leisure, pleasure, and exploration. Tourism also involves temporary stays and interactions with the local environment and culture, distinguishing it from long-term or permanent travel.

Yes, tourism can have both positive and negative impacts on the environment. It is crucial for destinations and tourists to practice sustainable tourism, minimizing any negative effects on the environment and promoting conservation efforts.

While leisure and pleasure are common motives for tourism, it also encompasses other purposes such as business travel, educational tourism, and medical tourism. The nature of the activity determines the motivations behind the travel.

Tourism contributes to the local economy through various channels, including accommodation, transportation, dining, and recreational activities. It creates job opportunities and stimulates local businesses, leading to economic growth and development.

Seasonality can pose challenges for the tourism industry as it leads to fluctuations in demand and affects the overall revenue generated. Managing the peak and off-peak seasons requires strategic planning to ensure a consistent flow of tourists throughout the year.

Tourism has the potential to be a sustainable form of economic development if managed responsibly. It is crucial to balance the economic benefits with social, cultural, and environmental considerations to ensure long-term sustainability.

Tourism promotes cultural exchange by bringing together people from different cultures and backgrounds. Tourists have the opportunity to learn about local traditions, customs, and heritage, fostering mutual understanding and appreciation.

Yes, tourism can contribute to the preservation of natural environments through initiatives such as ecotourism and sustainable tourism practices. These approaches emphasize responsible travel, conservation efforts, and minimizing the environmental footprint of tourism activities.

The temporary nature of tourism may limit the depth of cultural immersion. Tourists often have limited time to fully engage with the local community and deeply understand their way of life.

Technological advancements have revolutionized the tourism industry, making it easier for people to plan and book their trips. Online platforms, mobile applications, and virtual reality experiences provide new avenues for tourists to explore destinations and make informed choices.

Several factors influence the choice of a tourist destination, including personal interests, budget, accessibility, safety, cultural attractions, natural beauty, and recommendations from others.

Tourism can contribute to poverty alleviation in developing countries by creating employment opportunities, supporting local businesses, and attracting investments. However, proper planning and resource management are crucial to ensure that the benefits of tourism reach all segments of society.

In conclusion, the characteristics of tourism encompass movement, temporary stays, leisure and pleasure, interaction with the environment, economic impact, seasonality, and voluntariness. Understanding these attributes helps grasp the essence and significance of tourism as a multifaceted industry with wide-ranging effects on economies, societies, and individuals.

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Tourism has massively increased in recent decades. Aviation has opened up travel from domestic to international. Before the COVID-19 pandemic, the number of international visits had more than doubled since 2000.

Tourism can be important for both the travelers and the people in the countries they visit.

For visitors, traveling can increase their understanding of and appreciation for people in other countries and their cultures.

And in many countries, many people rely on tourism for their income. In some, it is one of the largest industries.

But tourism also has externalities: it contributes to global carbon emissions and can encroach on local environments and cultures.

On this page, you can find data and visualizations on the history and current state of tourism across the world.

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Chapter 1. History and Overview

1.1 What is Tourism?

Before engaging in a study of tourism , let’s have a closer look at what this term means.

Definition of Tourism

There are a number of ways tourism can be defined, and for this reason, the United Nations World Tourism Organization (UNWTO) embarked on a project from 2005 to 2007 to create a common glossary of terms for tourism. It defines tourism as follows:

Tourism is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes. These people are called visitors (which may be either tourists or excursionists; residents or non-residents) and tourism has to do with their activities, some of which imply tourism expenditure (United Nations World Tourism Organization, 2008).

Using this definition, we can see that tourism is not just the movement of people for a number of purposes (whether business or pleasure), but the overall agglomeration of activities, services, and involved sectors that make up the unique tourist experience.

Tourism, Travel, and Hospitality: What are the Differences?

It is common to confuse the terms tourism , travel , and hospitality or to define them as the same thing. While tourism is the all-encompassing umbrella term for the activities and industry that create the tourist experience, the UNWTO (2020) defines travel as the activity of moving between different locations often for any purpose but more so for leisure and recreation (Hall & Page, 2006). On the other hand, hospitality can be defined as “the business of helping people to feel welcome and relaxed and to enjoy themselves” (Discover Hospitality, 2015, p. 3). Simply put, the hospitality industry is the combination of the accommodation and food and beverage groupings, collectively making up the largest segment of the industry (Go2HR, 2020). You’ll learn more about accommodations and F & B in Chapter 3 and Chapter 4 , respectively.

Definition of Tourist and Excursionist

Building on the definition of tourism, a commonly accepted description of a tourist is “someone who travels at least 80 km from his or her home for at least 24 hours, for business or leisure or other reasons” (LinkBC, 2008, p.8). The United Nations World Tourism Organization (1995) helps us break down this definition further by stating tourists can be:

• Domestic (residents of a given country travelling only within that country)
• Inbound (non-residents travelling in a given country)
• Outbound (residents of one country travelling in another country)

Excursionists  on the other hand are considered same-day visitors (UNWTO, 2020). Sometimes referred to as “day trippers.” Understandably, not every visitor stays in a destination overnight. It is common for travellers to spend a few hours or less to do sightseeing, visit attractions, dine at a local restaurant, then leave at the end of the day.

The scope of tourism, therefore, is broad and encompasses a number of activities and sectors.

Spotlight On: United Nations World Tourism Organization (UNWTO)

UNWTO is the United Nations agency responsible “for the promotion of responsible, sustainable and universally accessible tourism” (UNWTO, 2014b). Its membership includes 159 countries and over 500 affiliates such as private companies, research and educational institutions, and non-governmental organizations. It promotes tourism as a way of developing communities while encouraging ethical behaviour to mitigate negative impacts. For more information, visit the UNWTO website .

NAICS: The North American Industry Classification System

Given the sheer size of the tourism industry, it can be helpful to break it down into broad industry groups using a common classification system. The North American Industry Classification System (NAICS) was jointly created by the Canadian, US, and Mexican governments to ensure common analysis across all three countries (British Columbia Ministry of Jobs, Tourism and Skills Training, 2013a). The tourism-related groupings created using NAICS are (in alphabetical order):

• Accommodation
• Food and beverage services (commonly known as “F & B”)
• Recreation and entertainment
• Transportation
• Travel services

These industry groups (also commonly known as sectors) are based on the similarity of the “labour processes and inputs” used for each (Government of Canada, 2013). For instance, the types of employees and resources required to run an accommodation business whether it be a hotel, motel, or even a campground are quite similar. All these businesses need staff to check in guests, provide housekeeping, employ maintenance workers, and provide a place for people to sleep. As such, they can be grouped together under the heading of accommodation. The same is true of the other four groupings, and the rest of this text explores these industry groups, and other aspects of tourism, in more detail.

It is typical for the entire tourist experience to involve more than one sector. The combination of sectors that supply and distribute the needed tourism products, services, and activities within the tourism system is called the Tourism Supply Chain. Often, these chains of sectors and activities are dependent upon each other’s delivery of products and services. Let’s look at a simple example below that describes the involved and sometimes overlapping sectoral chains in the tourism experience:

Before we seek to understand the five tourism sectors in more detail, it’s important to have an overview of the history and impacts of tourism to date.

Long Descriptions

Figure 1.2 long description: Diagram showing the tourism supply chain. This includes the phases of travel and the sectors and activities involved during each phase.

There are three travel phases: pre-departure, during travel, and post-departure.

Pre-departure, tourists use the travel services and transportation sectors.

During travel, tourists use the travel services, accommodations, food and beverage, recreation and entertainment, and transportation sectors.

Post-departure, tourists use the transportation sector.

[Return to Figure 1.2]

Media Attributions

• Front Desk by Staying LEVEL is licensed under a CC BY-NC 4.0 Licence .

Tourism according the the UNWTO is a social, cultural and economic phenomenon which entails the movement of people to countries or places outside their usual environment for personal or business/professional purposes.

UN agency responsible for promoting responsible, sustainable, and universally accessible tourism worldwide.

Moving between different locations for leisure and recreation.

The accommodations and food and beverage industry groupings.

someone who travels at least 80 km from his or her home for at least 24 hours, for business or leisure or other reasons

A same-day visitor to a destination. Their trip typically ends on the same day when they leave the destination.

A way to group tourism activities based on similarities in business practices, primarily used for statistical analysis.

Introduction to Tourism and Hospitality in BC - 2nd Edition Copyright © 2015, 2020, 2021 by Morgan Westcott and Wendy Anderson, Eds is licensed under a Creative Commons Attribution 4.0 International License , except where otherwise noted.

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Global tourism industry - statistics & facts

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• Basic Statistic Number of international tourist arrivals worldwide 2005-2023, by region
• Basic Statistic Travel and tourism employment worldwide 2019-2033

Total contribution of travel and tourism to gross domestic product (GDP) worldwide in 2019 and 2022, with a forecast for 2023 and 2033 (in trillion U.S. dollars)

Travel and tourism: share of global GDP 2019-2033

Share of travel and tourism's total contribution to GDP worldwide in 2019 and 2022, with a forecast for 2023 and 2033

Total contribution of travel and tourism to GDP in leading travel markets worldwide in 2019 and 2022 (in billion U.S. dollars)

Leisure tourism spending worldwide from 2019 to 2022 (in billion U.S. dollars)

Global business travel spending 2001-2022

Expenditure of business tourists worldwide from 2001 to 2022 (in billion U.S. dollars)

Number of international tourist arrivals worldwide from 1950 to 2023 (in millions)

Number of international tourist arrivals worldwide 2005-2023, by region

Number of international tourist arrivals worldwide from 2005 to 2023, by region (in millions)

Number of travel and tourism jobs worldwide from 2019 to 2022, with a forecast for 2023 and 2033 (in millions)

• Premium Statistic Global hotel and resort industry market size worldwide 2013-2023
• Premium Statistic Most valuable hotel brands worldwide 2023, by brand value
• Basic Statistic Leading hotel companies worldwide 2023, by number of properties
• Premium Statistic Hotel openings worldwide 2021-2024
• Premium Statistic Hotel room openings worldwide 2021-2024
• Premium Statistic Countries with the most hotel construction projects in the pipeline worldwide 2022

Global hotel and resort industry market size worldwide 2013-2023

Market size of the hotel and resort industry worldwide from 2013 to 2022, with a forecast for 2023 (in trillion U.S. dollars)

Most valuable hotel brands worldwide 2023, by brand value

Leading hotel brands based on brand value worldwide in 2023 (in billion U.S. dollars)

Leading hotel companies worldwide 2023, by number of properties

Leading hotel companies worldwide as of June 2023, by number of properties

Hotel openings worldwide 2021-2024

Number of hotels opened worldwide from 2021 to 2022, with a forecast for 2023 and 2024

Hotel room openings worldwide 2021-2024

Number of hotel rooms opened worldwide from 2021 to 2022, with a forecast for 2023 and 2024

Countries with the most hotel construction projects in the pipeline worldwide 2022

Countries with the highest number of hotel construction projects in the pipeline worldwide as of Q4 2022

• Premium Statistic Airports with the most international air passenger traffic worldwide 2022
• Premium Statistic Market value of selected airlines worldwide 2023
• Premium Statistic Global passenger rail users forecast 2017-2027
• Premium Statistic Daily ridership of bus rapid transit systems worldwide by region 2023
• Premium Statistic Number of users of car rentals worldwide 2019-2028
• Premium Statistic Number of users in selected countries in the Car Rentals market in 2023
• Premium Statistic Carbon footprint of international tourism transport worldwide 2005-2030, by type

Airports with the most international air passenger traffic worldwide 2022

Leading airports for international air passenger traffic in 2022 (in million international passengers)

Market value of selected airlines worldwide 2023

Market value of selected airlines worldwide as of May 2023 (in billion U.S. dollars)

Global passenger rail users forecast 2017-2027

Worldwide number of passenger rail users from 2017 to 2022, with a forecast through 2027 (in billion users)

Daily ridership of bus rapid transit systems worldwide by region 2023

Number of daily passengers using bus rapid transit (BRT) systems as of April 2023, by region

Number of users of car rentals worldwide 2019-2028

Number of users of car rentals worldwide from 2019 to 2028 (in millions)

Number of users in selected countries in the Car Rentals market in 2023

Number of users in selected countries in the Car Rentals market in 2023 (in million)

Carbon footprint of international tourism transport worldwide 2005-2030, by type

Transport-related emissions from international tourist arrivals worldwide in 2005 and 2016, with a forecast for 2030, by mode of transport (in million metric tons of carbon dioxide)

Attractions

• Premium Statistic Leading museums by highest attendance worldwide 2019-2022
• Basic Statistic Most visited amusement and theme parks worldwide 2019-2022
• Basic Statistic Monuments on the UNESCO world heritage list 2023, by type
• Basic Statistic Selected countries with the most Michelin-starred restaurants worldwide 2023

Leading museums by highest attendance worldwide 2019-2022

Most visited museums worldwide from 2019 to 2022 (in millions)

Most visited amusement and theme parks worldwide 2019-2022

Leading amusement and theme parks worldwide from 2019 to 2022, by attendance (in millions)

Monuments on the UNESCO world heritage list 2023, by type

Number of monuments on the UNESCO world heritage list as of September 2023, by type

Selected countries with the most Michelin-starred restaurants worldwide 2023

Number of Michelin-starred restaurants in selected countries and territories worldwide as of July 2023

Online travel market

• Premium Statistic Online travel market size worldwide 2017-2028
• Premium Statistic Estimated desktop vs. mobile revenue of leading OTAs worldwide 2023
• Premium Statistic Number of aggregated downloads of leading online travel agency apps worldwide 2023
• Basic Statistic Market cap of leading online travel companies worldwide 2023
• Premium Statistic Estimated EV/Revenue ratio in the online travel market 2024, by segment
• Premium Statistic Estimated EV/EBITDA ratio in the online travel market 2024, by segment

Online travel market size worldwide 2017-2028

Online travel market size worldwide from 2017 to 2023, with a forecast until 2028 (in billion U.S. dollars)

Estimated desktop vs. mobile revenue of leading OTAs worldwide 2023

Estimated desktop vs. mobile revenue of leading online travel agencies (OTAs) worldwide in 2023 (in billion U.S. dollars)

Number of aggregated downloads of leading online travel agency apps worldwide 2023

Number of aggregated downloads of selected leading online travel agency apps worldwide in 2023 (in millions)

Market cap of leading online travel companies worldwide 2023

Market cap of leading online travel companies worldwide as of September 2023 (in million U.S. dollars)

Estimated EV/Revenue ratio in the online travel market 2024, by segment

Estimated enterprise value to revenue (EV/Revenue) ratio in the online travel market worldwide as of April 2024, by segment

Estimated EV/EBITDA ratio in the online travel market 2024, by segment

Estimated enterprise value to EBITDA (EV/EBITDA) ratio in the online travel market worldwide as of April 2024, by segment

Selected trends

• Premium Statistic Global travelers who believe in the importance of green travel 2023
• Premium Statistic Sustainable initiatives travelers would adopt worldwide 2022, by region
• Premium Statistic Airbnb revenue worldwide 2017-2023
• Premium Statistic Airbnb nights and experiences booked worldwide 2017-2023
• Premium Statistic Technologies global hotels plan to implement in the next three years 2022
• Premium Statistic Hotel technologies global consumers think would improve their future stay 2022

Global travelers who believe in the importance of green travel 2023

Share of travelers that believe sustainable travel is important worldwide in 2023

Sustainable initiatives travelers would adopt worldwide 2022, by region

Main sustainable initiatives travelers are willing to adopt worldwide in 2022, by region

Airbnb revenue worldwide 2017-2023

Revenue of Airbnb worldwide from 2017 to 2023 (in billion U.S. dollars)

Airbnb nights and experiences booked worldwide 2017-2023

Nights and experiences booked with Airbnb from 2017 to 2023 (in millions)

Technologies global hotels plan to implement in the next three years 2022

Technologies hotels are most likely to implement in the next three years worldwide as of 2022

Hotel technologies global consumers think would improve their future stay 2022

Must-have hotel technologies to create a more amazing stay in the future among travelers worldwide as of 2022

• Premium Statistic Travel and tourism revenue worldwide 2019-2028, by segment
• Premium Statistic Distribution of sales channels in the travel and tourism market worldwide 2018-2028
• Premium Statistic Inbound tourism visitor growth worldwide 2020-2025, by region
• Premium Statistic Outbound tourism visitor growth worldwide 2020-2025, by region

Travel and tourism revenue worldwide 2019-2028, by segment

Revenue of the global travel and tourism market from 2019 to 2028, by segment (in billion U.S. dollars)

Distribution of sales channels in the travel and tourism market worldwide 2018-2028

Revenue share of sales channels of the travel and tourism market worldwide from 2018 to 2028

Inbound tourism visitor growth worldwide 2020-2025, by region

Inbound tourism visitor growth worldwide from 2020 to 2022, with a forecast until 2025, by region

Outbound tourism visitor growth worldwide 2020-2025, by region

Outbound tourism visitor growth worldwide from 2020 to 2022, with a forecast until 2025, by region

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Travel ABC: The 7 Essential Components of Tourism

By Jorge Coromina

Travel and tourism have become an integral part of modern life, offering people the opportunity to explore new destinations, cultures, and experiences. 

While we often associate travel with leisure and relaxation, the industry's complexities go far beyond just booking a flight and hotel. 

To truly understand the dynamics of travel and tourism, we need to delve into its seven essential components, each playing a vital role in creating memorable journeys for travelers worldwide.

Transportation

Transportation serves as the backbone of the travel and tourism industry. Whether it's crossing international borders or exploring local attractions, the availability of efficient and reliable transportation is crucial. Airlines, railways, buses, cruise lines, and other modes of transportation connect destinations, making it possible for travelers to reach their desired locations. Advancements in transportation technology have also made travel more accessible, convenient, and eco-friendly.

Accommodation

Accommodation is a fundamental component of travel and tourism, encompassing a wide range of options to suit every traveler's preferences and budget. From luxurious five-star hotels to cozy bed and breakfasts, hostels, vacation rentals, and camping sites, the diversity in accommodation choices allows travelers to personalize their experience. The hospitality industry's dedication to providing comfortable and welcoming spaces plays a significant role in ensuring tourists enjoy a memorable stay.

Attractions

The attractions at a destination are what entice travelers to visit and explore. Whether they are natural wonders, historical landmarks, cultural sites, amusement parks, or adventure sports, attractions are the heart of tourism. They showcase the unique identity of a place, revealing its history, traditions, and values. Government and private initiatives to preserve and promote attractions contribute to the sustainable growth of the tourism industry.

Cuisine and Dining

One of the most enjoyable aspects of travel is indulging in the local cuisine and dining experiences. Food is an essential part of culture, and trying traditional dishes gives travelers an authentic glimpse into the destination's way of life. Restaurants, street food vendors, food festivals, and cooking classes all contribute to the gastronomic adventure that enriches a traveler's journey.

Entertainment and Events

Entertainment and events are integral to enhancing the overall travel experience. Music festivals, art exhibitions, cultural performances, and sports events add excitement and vibrancy to destinations. These events often draw large crowds of tourists, fostering cultural exchange and economic growth for the local community.

Travel Services and Infrastructure

Behind the scenes, travel services and infrastructure work tirelessly to ensure seamless experiences for travelers. Travel agencies, tour operators, travel insurance providers, and online platforms facilitate trip planning and booking. Additionally, efficient infrastructure, such as airports, roads, public transportation, and communication networks, plays a crucial role in supporting the smooth movement of tourists.

Hospitality and Customer Service

At the core of travel and tourism lies the importance of hospitality and exceptional customer service. The warmth and friendliness of locals, as well as the professionalism of tourism employees, leave a lasting impression on visitors. From tour guides to hotel staff, these individuals play an invaluable role in creating a positive and welcoming environment for tourists.

The travel and tourism industry is a multifaceted ecosystem comprising various components that work harmoniously to provide enriching experiences for travelers. From the moment a journey is conceived to the point of departure, each aspect plays a vital role in shaping memories that last a lifetime. 

As this industry continues to evolve, a focus on sustainability, responsible tourism, and embracing cultural diversity will ensure that future generations can enjoy the wonders of travel while preserving the beauty of our world's destinations.

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Your Marketing Mix: the 7 Ps of Travel and Tourism Marketing

As a busy tour operator, developing a marketing strategy for your tour or activity business can feel like a daunting task. You already have your hands full ensuring your business is running smoothly, you can’t afford to waste time or money on the wrong things. Fortunately, you don’t have to go in without a plan. A good way to build out your knowledge of the fundamentals of marketing is to understand the marketing mix and how to use the 7 Ps of marketing in the travel and tourism industry.

A marketing mix is the set of actions that a business uses to promote its brand in the market and influence customers to purchase their product. An effective marketing mix focuses its efforts in multiple areas to build a robust marketing plan. These areas were initially known as the 4 Ps of marketing (product, price, place, and promotion) and were first proposed by marketing professor Jerome McCarthy in 1960. Since then, marketing tactics have evolved and in an attempt to better address businesses in the service industry, the 4 Ps were expanded to 7 and now include people, process, and physical evidence.

Why Do They Matter?

Today, we’ll be exploring all 7 Ps of the marketing mix and how they can help you build an effective marketing strategy for your tour or activity business. While each element of the marketing mix is important on its own, collectively they provide a framework for creating a plan that is unique to your business and your target audience. Following the 7 Ps will help you better understand your brand so that you can develop a marketing strategy that works for you on all fronts. 

The 7 Ps of Travel and Tourism Marketing

The first P of the marketing mix is product. That is, what is it that you’re selling to your customers? In most industries, the product is something that is tangible. The customer can walk into a store, purchase a product off the shelf, and take it home with them. However, in the tourism industry, the product provided is often an intangible service in the form of a tour, an experience, or even the destination itself. 

Tangible or intangible, to give your product the best chance of success, it’s important to ensure that there is a demand for what you’re selling. Make sure you have a thorough understanding of the service you’re offering, the needs you’re fulfilling for your customers, and why they aren’t able to get it anywhere else. What makes your tour or activity unique and better than that of your competitors?

Answering these questions will help you discover your unique selling proposition (USP) and determine your positioning in the market. Above all, ensure that the tour or activity you’re providing is the best that it can be.

Next up is the price of your tour. What are your customers willing to pay for what you’re offering? Determining how to price your tour or activity package requires the careful consideration of factors such as competitor pricing, the budget of your target audience, and your own overhead and operational costs. Ultimately, you want to price your tour or activity competitively so that it is both attractive to your customers and profitable for your business.

The third P of the travel and tourism marketing mix is place, or the distribution method of your product. This is where and how you make your tour or activity available to your customers for purchase. As mentioned earlier, because the service you’re providing is intangible, the places where your customers can book your tour will primarily be online, whether it be through your booking website, social media platforms, or online travel agencies (OTAs) like Expedia and Booking.com.

Your online booking website is one of the most important places your tours and activities can be found, so make sure it’s doing everything you need by booking a demo with Rezgo .

Physical locations like your tour or activity office as well as neighboring businesses that you’ve partnered with are also places where your customers might access your product.

The last of the original 4 Ps of marketing is promotion, or how your customers learn about your tour or activity. Tour promotion encompasses all the tactics that businesses typically use when they think about marketing. This includes both physical and digital advertisements, social media posts , press releases, events, special deals or limited-time offers, customer reviews, and partnerships with hotels or other local businesses at your destination. The possibilities are endless when it comes to tour promotion and are really only limited by your own creativity. 

The people who represent your business and the customer service they provide are especially important when it comes to the success of a tour or activity company. Unlike businesses where physical products can sometimes speak for themselves, the overall experience a customer receives on a tour is greatly influenced by the people they interact and engage with. This includes tour guides, customer service representatives, and even booking agents. To ensure a positive experience for your customers, it’s important that anyone who interacts with your customers on your business’ behalf (even indirectly) is highly professional and knowledgeable about your products and services.

the sixth of the 7 Ps of tourism marketing is the process. The process that a customer goes through from the moment they book your activity to when they finally complete the tour should be as pleasant, convenient, and seamless as possible. Customers should be able to access any information they need with ease including their itinerary, booking info, waivers, etc.

Just as important is how your business decides to deliver this information to your customers. Plan and design your process so that it is easily replicated for efficiency, reliability, and consistency. A good booking system can automate a lot of your process to make sure the customer experience is smooth and efficient from start to finish.

Physical Evidence

Lastly, we have physical evidence. Once again, because the experiences and services provided by a tour or activity company are usually intangible, it can be difficult for interested customers to try them out before committing to a purchase or booking.

There are, however, still ways for tour operators to use physical cues to help convert potential customers. Some of these include website design, physical tour office layout, employee uniforms, brochures, marketing material, and souvenirs or free swag. It’s also worth highlighting any tangible elements of your tour that customers can look forward to in your promotional material or tour descriptions . 

Measuring the Success of Your Travel and Tourism Marketing Mix

Using the 7 Ps of marketing to build out a strategy for your tour company is great, but how do you know if it’s working? Measuring the success of your tourism marketing mix can be accomplished in a few ways. The first is to calculate your return on investment (ROI) to determine whether the money you’ve spent on your marketing initiatives are actually bringing in enough sales for a profit.

Another way to check on the performance of your marketing strategy is by using analytics on engagement data. How many people actually saw or clicked on that ad, post, or email? How many of those clicks converted into a sale? 

Rezgo offers a powerful reporting system that allows tour operators to track the performance of their marketing campaigns and analyze the impact of each referrer or promo code. By studying this data you can adjust your marketing strategy so that you’re focusing your effort and allocating your money in the most effective places.

There’s a lot to consider when developing a marketing strategy for your tour or activity business, but now that we’ve broken down the 7 Ps of a tourism marketing mix, you know exactly which areas you should be focusing on.

Work on planning and building out each marketing element separately, but remember that they need to complement each other and work together harmoniously for the biggest impact. Adjusting your strategy in one area should affect the way you approach another. 

Rezgo helps tour and activity providers thrive by giving them the tools and guidance they need to work efficiently and expand their business.You’re passionate about providing amazing experiences. We’re passionate about building  flexible tools  to make your job easier and get you more bookings. Let’s work together to make your business thrive. Start using Rezgo today by signing up for free !

We can’t wait to see you launch your next marketing campaign. Good luck!

Written By | Edward Nieh

Edward Nieh is a freelance writer and copy editor working across multiple mediums for clients from various industries. He has a degree in creative writing with a focus on screenwriting for feature films.

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21 reasons why tourism is important – the importance of tourism

Disclaimer: Some posts on Tourism Teacher may contain affiliate links. If you appreciate this content, you can show your support by making a purchase through these links or by buying me a coffee . Thank you for your support!

Tourism is important, more important than most people realise in fact!

The importance of tourism is demonstrated throughout the world. From the economic advantages that tourism brings to host communities to the enjoyment that tourism brings to the tourists themselves, there is no disputing the value of this industry.

The importance of tourism can be viewed from two perspectives: the tourism industry and the tourist. In this article I will explain how both the industry and the tourist benefit from the tourism industry and why it is so important on a global scale.

What is the importance of tourism?

Enhanced quality of life, ability to broaden way of thinking, educational value, ability to ‘escape’, rest and relaxation, enhanced wellbeing, who are tourism industry stakeholders, foreign exchange earnings, contribution to government revenues, employment generation, contribution to local economies, overall economy boost, preserving local culture, strengthening communities, provision of social services, commercialisation of culture and art, revitalisation of culture and art, preservation of heritage, empowering communities, protecting nature, the importance of tourism: political gains, why tourism is important: to conclude, the importance of tourism: further reading.

When many people think about the tourism industry they visualise only the front-line workers- the Holiday Representative, the Waiter, the Diving Instructor. But in reality, the tourism industry stretches much, much further than this.

As demonstrated in the infographic below, tourism is important in many different ways. The tourism industry is closely interconnected with a number of global industries and sectors ranging from trade to ecological conservation.

Why tourism is important to the tourist

When we discuss the importance of tourism it is often somewhat one-sided, taking into consideration predominantly those working in the industry and their connections.

However, the tourist is just as important, as without them there would be no tourism!

Below are just a few examples of the importance of tourism to the tourist:

Taking a holiday can greatly benefit a person’s quality of life. While different people have very different ideas of what makes a good holiday (there are more than 150 types of tourism after all!), a holiday does have the potential to enhance quality of life.

Travel is known to help broaden a person’s way of thinking. Travel introduces you to new experiences, new cultures and new ways of life.

Many people claim thatchy ‘find themselves’ while travelling.

One reason why tourism is important is education.The importance of tourism can be attributed to the educational value that it provides. Travellers and tourists can learn many things while undertaking a tourist experience, from tasting authentic local dishes to learning about the exotic animals that they may encounter.

Tourism provides the opportunity for escapism. Escapism can be good for the mind. It can help you to relax, which in turn often helps you to be more productive in the workplace and in every day life.

This is another way that the importance of tourism is demonstrated.

Rest and relaxation is very important. Taking time out for yourself helps you to be a happier, healthier person.

Having the opportunity for rest and relaxation in turn helps to enhance wellbeing.

Why tourism is important to stakeholders

There are many reasons why tourism is important to the people involved. There are many people who work either directly or indirectly with the tourism industry and who are therefore described as stakeholders. You can read more about tourism stakeholders and why they are important in this post- Stakeholders in tourism: Who are they and why do they matter?

The benefits of tourism are largely related to said stakeholders in some way or another. Below are some examples of how stakeholders benefit from tourism, organised by economic, social, environmental and political gains; demonstrating the importance of tourism.

The importance of tourism: Economic gains

Perhaps the most cited reason in reference to the importance of tourism is its economic value. Tourism can help economies to bring in money in a number of different ways. Below I have provided some examples of the positive economic impacts of tourism .

The importance of tourism is demonstrated through foreign exchange earnings. 

Tourism expenditures generate income to the host economy. The money that the country makes from tourism can then be reinvested in the economy. How a destination manages their finances differs around the world; some destinations may spend this money on growing their tourism industry further, some may spend this money on public services such as education or healthcare and some destinations suffer extreme corruption so nobody really knows where the money ends up! 

Some currencies are worth more than others and so some countries will target tourists from particular areas. Currencies that are strong are generally the most desirable currencies. This typically includes the British Pound, American, Australian and Singapore Dollar and the Euro . 

Tourism is one of the top five export categories for as many as 83% of countries and is a main source of foreign exchange earnings for at least 38% of countries.

The importance of tourism is also demonstrated through the money that is raised and contributed to government revenues. Tourism can help to raise money that it then invested elsewhere by the Government. There are two main ways that this money is accumulated. 

Direct contributions  are generated by taxes on incomes from tourism employment and tourism businesses and things such as departure taxes. 

According to the World Tourism Organisation , the direct contribution of Travel & Tourism to GDP in 2018 was $2,750.7billion (3.2% of GDP). This is forecast to rise by 3.6% to $2,849.2billion in 2019.

Indirect contributions  come from goods and services supplied to tourists which are not directly related to the tourism industry. 

There is also the income that is generated through  induced contributions . This accounts for money spent by the people who are employed in the tourism industry. This might include costs for housing, food, clothing and leisure Activities amongst others. This will all contribute to an increase in economic activity in the area where tourism is being developed. 

The importance of tourism can be demonstrated through employment generation.

The rapid expansion of international tourism has led to significant employment creation. From hotel managers to theme park operatives to cleaners, tourism creates many employment opportunities. Tourism supports some 7% of the world’s workers. 

There are two types of employment in the tourism industry: direct and indirect. 

Direct employment  includes jobs that are immediately associated with the tourism industry. This might include hotel staff, restaurant staff or taxi drivers, to name a few. 

Indirect employment includes jobs which are not technically based in the tourism industry, but are related to the tourism industry.

It is because of these indirect relationships, that it is very difficult to accurately measure the precise economic value of tourism, and some suggest that the actual economic benefits of tourism may be as high as double that of the recorded figures!

The importance of tourism can be further seen through the contributions to local economies.

All of the money raised, whether through formal or informal means, has the potential to contribute to the local economy. 

If  sustainable tourism  is demonstrated, money will be directed to areas that will benefit the local community most. There may be pro-poor tourism initiatives (tourism which is intended to help the poor) or  volunteer tourism  projects. The government may reinvest money towards public services and money earned by tourism employees will be spent in the local community. This is known as the multiplier effect. 

Tourism boosts the economy exponentially. This is partly because of the aforementioned jobs that tourism creates, but also because of the temporary addition to the consumer population that occurs when someone travels to a new place. Just think: when you travel, you’re spending money. You’re paying to stay in a hotel or hostel in a certain area – then you’re eating in local restaurants, using local public transport, buying souvenirs and ice cream and new flip flops. As a tourist, you are contributing to the global economy every time you book and take a trip.

For some towns, cities and even whole countries, the importance of tourism is greater than for other. In some cases, it is the main source of income. For example, according to the World Travel and Tourism Council, tourism accounts for almost 40% of the Maldives’ total GDP. In comparison, it’s less than 4% in the UK and even lower in the US! In the Seychelles the number is just over 26% while in the British Virgin Islands it is over 35% – so tourism is vastly important in these nations.

The importance of tourism: Social gains

The importance of tourism is not only recognised through economic factors, but there are also many positive social impacts of tourism that play an important part. Below I will outline some of the social gains from tourism.

It is the local culture that the tourists are often coming to visit and this is another way to demonstrate the importance of tourism.

Tourists visit Beijing to learn more about the Chinese Dynasties. Tourists visit Thailand to taste authentic Thai food. Tourists travel to Brazil to go to the Rio Carnival, to mention a few…

Many destinations will make a conserved effort to preserve and protect the local culture. This often contributes to the conservation and  sustainable management  of natural resources, the protection of local heritage, and a renaissance of indigenous cultures, cultural arts and crafts. 

The importance of tourism can also be demonstrated through the strengthening of communities.

Events and festivals of which local residents have been the primary participants and spectators are often rejuvenated and developed in response to tourist interest.

The jobs created by tourism can also be a great boost for the local community. Aside from the  economic impacts  created by enhanced employment prospects, people with jobs are happier and more social than those without a disposable income. 

Local people can also increase their influence on tourism development, as well as improve their job and earnings prospects, through tourism-related professional training and development of business and organisational skills.

The importance of tourism is shown through the provision of social services in the host community.

The tourism industry requires many facilities/ infrastructure to meet the needs of the tourist. This often means that many developments in an area as a result of tourism will be available for use by the locals also. 

Local people often gained new roads, new sewage systems, new playgrounds, bus services etc as a result of tourism. This can provide a great boost to their quality of life and is a great example of a positive social impact of tourism. 

Tourism can see rise to many commercial business, which can be a positive social impact of tourism. This helps to enhance the community spirit as people tend to have more disposable income as a result. 

These businesses may also promote the local cultures and arts. Museums, shows and galleries are fantastic way to showcase the local customs and traditions of a destination. This can help to promote/ preserve local traditions.

Some destinations will encourage local cultures and arts to be revitalised. This may be in the form of museum exhibitions, in the way that restaurants and shops are decorated and in the entertainment on offer, for example. 

This may help promote traditions that may have become distant. 

Another reason for the importance of tourism is the preservation of heritage. Many tourists will visit the destination especially to see its local heritage. It is for this reason that many destinations will make every effort to preserve its heritage. 

This could include putting restrictions in place or limiting tourist numbers, if necessary. This is often an example of careful  tourism planning  and sustainable tourism management. 

Tourism can, if managed well, empower communities. While it is important to consider the authenticity in tourism and take some things with a pinch of salt, know that tourism can empower communities.

Small villages in far off lands are able to profit from selling their handmade goods. This, in turn, puts food on the table. This leads to healthier families and more productivity and a happier population .

The importance of tourism: Environmental gains

Whilst most media coverage involving tourism and the environment tends to be negative, there are some positives that can come from it: demonstrating the importance of tourism once again.

Some people think that tourism is what kills nature. And while this could so easily be true, it is important to note that the tourism industry is and always has been a big voice when it comes to conservation and the protection of animals and nature. Tourism organisations and travel operators often run (and donate to) fundraisers. 

As well as this, visitors to certain areas can take part in activities that aim to sustain the local scenery. It’s something a bit different, too! You and your family can go on a beach clean up walk in Spain or do something similar in the UAE . There are a lot of ways in which tourism actually helps the environment, rather than hindering it!

Lastly, there is something to be said for the political gains that can be achieved through tourism.

The tourism industry can yield promising opportunities for international collaborations, partnerships and agreements, for example within the EU. This can have positive political impacts on the host country as well as the countries who choose to work with them.

Tourism is a remarkably important industry. As you can see, the tourism industry does not stand alone- it is closely interrelated with many other parts of society. Not only do entire countries often rely on the importance of tourism, but so do individual members of host communities and tourists.

If you are studying travel and tourism and are interested in learning more about the importance of tourism, I recommend you take a look at the following texts:

• An Introduction to Tourism : a comprehensive and authoritative introduction to all facets of tourism including: the history of tourism; factors influencing the tourism industry; tourism in developing countries; sustainable tourism; forecasting future trends.
• The Business of Tourism Management : an introduction to key aspects of tourism, and to the practice of managing a tourism business.
• Tourism Management: An Introduction : gives its reader a strong understanding of the dimensions of tourism, the industries of which it is comprised, the issues that affect its success, and the management of its impact on destination economies, environments and communities.

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7P’s in the tourism marketing mix for tour & activity providers

By Blake Ng — 5 Aug 2018

Direct Marketing   marketing   tourism business strategy

Updated November 2021 – Anyone who runs a business or markets a specific product within the tourism industry knows about the tourism marketing mix . The traditional marketing mix was created in 1960 and has been applied to nearly every product created since then. The marketing mix contains the 4 P’s: product, place, price, and promotion. However, 3 extra P’s apply for the experiences industry: People, Processes, and Physical Evidence. As a tour operator, here’s what you need to know about the basic tourism marketing mix and how you can utilize them to analyze your competitive strategies.

The Traditional Marketing Mix

Product is the first step of the marketing process because you need to create a product that consumers want. Without the right products, it won’t be easy to market your business and attract customers to your services.

As a tour and activity provider, you must offer a specific tour or activity that is in demand. It should be a high-quality tour and an authentic experience . By striving to exceed your customers’ expectations, you will surely gain a target market that seeks your product.

Decades ago, tour and activity providers simply sold their products through their storefront and through travel agents. Today and with the advancement of technology , you have to make sure your tours and activities are available both online and offline. This allows for a wider avenue of bookings to come through from a wide variety of platforms. 

These days, most travelers want to book online in order to make their reservations, and it’s essential to have a mobile-friendly website that accepts bookings. By being able to be bookable anywhere your customers are, it eases the overall booking process. Ultimately, this increases your chances of capturing their bookings.

Price your tours and activities according to demand and value is essential. You don’t need to give away your products for free in order to attract customers. You simply need to offer them a valuable experience that they find worthwhile.

By marketing your products correctly and providing evidence that your tours and activities are credible, you can align your services with a price point that customers will agree to pay.

You should utilize a variety of advertising techniques and marketing campaigns to promote your business. Whether that be an online promotion or an exclusive offer between your business and an agent, promoting campaigns correctly is key to boosting your sales.

How and where you communicate your campaigns is also an important element to your promotion’s success. Utilizing channels such as your website, social media, storefronts, and agents (including OTAs) will help widen your business’ exposure.

By strategizing and communicating your campaigns correctly, it increases your chances of being discovered and will boost your sales.

The tourism marketing mix: 3 extra P’s

Tour and activity providers should note that there is an extension to the marketing mix that should be applied to their own unique services. The service marketing mix, or in our case, the tourism marketing mix consists of 3 more P’s, and was developed in 1981., It applies to every business that sells services and, experiences as a product.

When it comes to marketing your tour and activity business, here are a few “take-aways”  about the extended tourism marketing mix and how it will help your business.

Invest in the right employees who demonstrate the qualities of a good tour guide . Your staff and guides are the faces of your company. They will represent your business and are one of the main determining factors of your customer’s satisfaction. By hiring enthusiastic and entertaining guides, it can help draw more customers to your business and will enhance the overall customer experience.

Your processes are key to a great customer experience . Clear processes provide convenience for both your staff and your customers. It ensures your business’s operation and procedures run smoothly. 

By having an online booking software like Rezdy, managing your processes will become an automatic process. A software like Rezdy allows customers to book based on real-time availability and will automatically adjust your manifests. This will ensure that everyone involved will be aware of upcoming bookings and can prepare resources accordingly.

The proper processes will make sure your tours run on schedule and avoid any hiccups such as overbooking and long waiting times. This will help give your customers the experience they’ve been promised and will encourage them to re-book and promote your business.

Physical Evidence

Give your customers physical evidence of what they paid for when they booked their tours. Make sure vehicles, gears and other materials are clean and presentable. Your staff should also be trained and properly presented, and if you have a storefront, make sure it’s well-maintained.

Physical evidence is effectively part of your tour branding strategy , so by providing physical evidence that your business is up to standards, will encourage customers to leave a positive review for others to see.

One way to execute the 7 P’s of the tourism marketing mix is by investing in an online booking software built specifically for your business. A software like Rezdy will help improve your processes by giving you a detailed insight into your business. This will allow you to set your best prices, promote in the correct place and engage with the right people. Curious to see if Rezdy is right for you? Sign- up for a FREE 21-day trial or request a demo today.

If you enjoyed this article then make sure to follow the Rezdy blog . There are a lot of marketing tools and tour operator tips designed with businesses like yours in mind.

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Destination readiness: Preparing for the tourist flows of tomorrow

Tourism can help build a more connected, more vibrant world. But as tourism grows rapidly, the most visited destinations are experiencing more concentrated flows (Exhibit 1). Recent satellite data suggests that 80 percent of travelers visit just 10 percent of the world’s tourist destinations. The number of travelers and the frequency of their trips are only set to increase.

A large flow of tourists, if not carefully channeled, can encumber infrastructure, harm natural and cultural attractions, and frustrate locals and visitors alike. Today’s tech-enabled travel landscape can exacerbate this issue: one eye-catching photo on a social media network can make a little-known attraction go viral.

About the authors

This article is a collaborative effort by Caroline Tufft , Margaux Constantin , Matteo Pacca , and Ryan Mann , with Ivan Gladstone and Jasperina de Vries, representing views from McKinsey’s Travel, Logistics & Infrastructure Practice.

Against this backdrop, now is the time for tourism stakeholders to combine their thinking and resources to look for better ways to handle the visitor flows of today—while properly preparing themselves for the visitor flows of tomorrow. We offer a diagnostic that destinations can use to spot early-warning signs about tourism concentration, followed by suggestions for funding mechanisms and strategies to help maximize the benefits of tourism while minimizing its negative impacts.

Carrying capacity and its impact on destination readiness

Carrying capacity refers to the maximum number of visitors that a destination can accommodate without causing harm to its physical, economic, and sociocultural environment or compromising the quality of visitors’ experiences. To effectively manage carrying capacity, destinations must first understand their specific limits—then actively work to stay within them.

When a destination exceeds its carrying capacity, the negative effects of tourism may begin to outweigh the benefits (Exhibit 2). Shutting down tourism isn’t always feasible or sustainable. Instead, destinations should focus on increasing their carrying capacity to enable more growth. By adopting early-detection mechanisms and attentively managing carrying capacity, destinations can strike a balance between welcoming visitors and preserving natural and cultural assets and quality of life for residents.

In 2017, leveraging the growing availability of data about travelers, McKinsey, in collaboration with the World Travel & Tourism Council, developed a diagnostic tool  to help spot early-warning signals that a destination is under stress from tourism. 1 “ Coping with success: Managing overcrowding in tourism destinations ,” McKinsey, December 14, 2017. This year, we have updated this tool to address the evolving nature of the challenge and the accessibility of more nuanced and precise data (see sidebar “Methodology for assessing destination readiness”).

Methodology for assessing destination readiness

Utilizing information from vendors, publicly available databases, and press searches, we measured airline traffic, accommodation booking activity, and traveler sentiment. 1 Diio Mi; International Air Transport Association; Mabrian Technologies; Oxford Economics; Tripadvisor; UN World Tourism Organization; World Travel & Tourism Council. We also incorporated analysis of data sets obtained from travel-focused groups such as the UN World Tourism Organization and the World Travel & Tourism Council.

Our intent was to identify metrics that indicate the potential effects of concentrated tourism. We examined metrics affecting the following six categories:

• Local economy: measuring the potential risk of dependence on tourism based on the speed of tourism growth over the past five years and tourism’s contribution to direct employment and GDP.
• Local community: measuring the concentration of tourism in city centers based on inbound arrivals, nights stayed, and tourism accommodations per square kilometer.
• Tourist experience: measuring overall tourist sentiment based on reviews of top 20 attractions and guest satisfaction regarding accommodations.
• Infrastructure: measuring potential overloading risks caused by tourism based on the seasonal intensity and geographic concentration of visitor arrivals.
• Nature and the environment: measuring risks to nature based on carbon emissions generated by travel and sustainability commitments pledged by local hotels.
• Culture and heritage: measuring potential threats to cultural sites based on the concentration of visitors at these sites.

Starting with a list of 65 major, representative cities, we’ve separated locations into quintiles indicating levels of potential risk and negative impact stemming from tourism flows (Exhibit 3). While this data is focused on metropolitan areas, the approach can be replicated for all sorts of popular destinations—from beach towns to mountain villages to religious sites.

Destinations can be grouped into the four following archetypes, based on whether they are struggling with visitor flow and whether they have developed tools to manage it:

• Seasonally overloaded destinations pair high visitor concentrations with limited tourist-flow-management capabilities. These cities may have room to expand their visitor management tool kits to enhance the experiences of both locals and tourists. Representative examples include Cancún, Dubrovnik, and Marrakech.
• Increasingly stressed destinations currently receive limited numbers of visitors but exhibit signs of stressed infrastructure resulting from limited tourism flow management. These cities could both boost their visitor numbers and improve their visitor infrastructure. Representative examples include Los Angeles, Manila, and Mumbai.
• Actively managed destinations receive high concentrations of visitors and have developed robust visitor management flows in response. Continuous monitoring and innovation could help these cities continue to adequately manage carrying capacity. Representative examples include Amsterdam, Bangkok, and Dubai.
• Balanced-capacity destinations receive relatively fewer visitors but have already implemented sophisticated tourism-flow-management systems. These cities can focus on boosting their visitor numbers while actively monitoring the impact of this growth. Representative examples include Abu Dhabi, Lima, and Singapore.

Seasonally overloaded: Dubrovnik

Dubrovnik is an intensely seasonal destination, with roughly 20 times more inbound airline seats made available for sale during its peak season (July and August) than during low season (January and February). The density of vacation rentals can reach about 90 postings per square kilometer in summer. The city is a popular stop for Mediterranean cruises, and its small, history-laden center can experience concentrated tourist footfalls when a ship is in port.

Dubrovnik falls in the top quintile of risk in four of our six categories, although it has begun taking significant steps to combat overcrowding. The city recently banned new private-rental permits in its historic Old Town neighborhood to counter rising rent costs for locals, 1 Sanjana Shenoy, “Croatia: Historic city Dubrovnik bans new rental permits to curb overtourism & help locals,” Curly Tales, March 15, 2024. and it’s also reorganizing cruise schedules to better stagger visitor flows.

Increasingly stressed: Mumbai

Mumbai is well positioned to capitalize on booming Indian tourism, but the city could benefit from building out its visitor-management-flow systems. Mumbai has the lowest tourism density relative to its population of all cities in our data set, yet visitors report some of the same concerns seen in more popular tourism hot spots, including long waits for entrance to attractions and a plethora of guides and vendors competing for attention. Road traffic is a major detriment to the visitor experience, with tourists in 2023 experiencing an average travel time of 20 minutes to cover ten kilometers.

The city has ambitious plans to reduce congestion with new metro and highway systems that could benefit both locals and tourists. It might have additional room to increase carrying capacity by addressing current visitor pain points—for example, by installing modernized metal detectors to smooth entry into major attractions or by creating centralized guide booths at attractions to help visitors find licensed guides.

Actively managed: Amsterdam

Given Amsterdam’s small geographic footprint, its extreme concentration of visitors puts significant pressure on local infrastructure—affecting the daily experiences of both tourists and residents. It has tried to actively manage tourism through measures such as its recently announced moratorium on hotel development 1 Charlotte Van Campenhout, “Amsterdam bans new hotels in fight against mass tourism,” Reuters, April 17, 2024. and a ban on public smoking of cannabis in its red-light district. 2 “Amsterdam to ban cannabis outdoors in red-light district,” Reuters, February 10, 2023. It has also used marketing to promote less-well-known areas in an effort to channel some visitors away from the most crowded neighborhoods. Amsterdam uses data gleaned from social media and behavior tracked on its tourist-friendly city card to analyze tourist flows and spot areas under stress.

Balanced capacity: Singapore

Renowned for an automated metro train line, futuristic downtown core, and cutting-edge innovation, Singapore has the infrastructure, resources, and practices in place to grow and support larger tourism flows. It currently ranks 56th out of the 65 cities we analyzed in terms of inbound visits per square kilometer.

Singapore’s limited land mass does tend to concentrate visitor flows at top attractions, which could create threats to cultural sites and negatively affect the experiences of both visitors and locals. Recent development projects have expanded the depth and breadth of tourist offerings, creating new attractions that could help increase the city’s carrying capacity and keep it primed for future growth.

Funding destination readiness

Once the need for destination readiness has been identified, questions turn to funding. Destinations should carefully consider which sources and mechanisms to use to generate the revenue needed to address the impacts of tourism—and ensure that the burdens don’t fall disproportionately.

Devise permit systems for individual attractions

Requiring visitors to obtain a paid permit before viewing an attraction can generate revenue while simultaneously helping to manage capacity. Permitting systems are most effective in places where demand frequently exceeds capacity and, if left unchecked, could risk causing harm to ecologically or culturally sensitive locales. Galapagos National Park in Ecuador, for instance, uses a strict permitting system with entrance fees that are applied directly toward preservation efforts.

A potential downside of permit requirements is the financial barrier for tourists who have less ability to pay. Many destinations have instituted lotteries that govern the opportunity to purchase an affordable permit, though this also reduces the funding generated by this strategy. It’s worth noting that there can be limits to the effectiveness of permitting systems: Mount Everest’s sky-high fees haven’t reduced demand from climbers.

Capitalize on major, one-off events

The city of Vancouver was able to use the planning process for the 2010 Winter Olympic Games as a catalyst to unlock government funding for long-desired infrastructure development—including road and train projects that had been stalled for more than a decade. While there’s risk that any given future mega-event won’t lead to sustained tourism demand, it can lead to lasting infrastructure improvements that benefit locals 2 Nelson Bennett, “Path to 2010 Olympics built from asphalt, steel,” Vancouver Is Awesome , February 11, 2020. for years to come.

Explore public–private partnerships

Destinations can pursue public–private partnerships to accelerate development and spread out risk. Common examples of this approach include cofunded or cobuilt event centers or museums. Exclusive concessions established and granted by destinations can provide revenue-generating opportunities to operators or leaseholders in exchange for financial returns and other commitments, such as pledges to sustainably develop and maintain a location or to support local education, infrastructure, and healthcare.

Ensure proceeds from tourism are invested where they are needed

Cities shouldn’t underestimate the strain on waste, water, and road infrastructure that tourism can create. In places where visitors significantly exceed local populations, tourism tax revenue can be budgeted into core municipal expenses, such as road maintenance and waste management, so that repairing wear and tear caused by visitors doesn’t fall entirely on locals. Tourism taxes and entry fees can be redistributed to local communities or used for preservation or restoration projects.

Managing capacity and mitigating negative impacts from growing tourist flows

After risks and funding sources have been identified, there are several promising strategies that the tourism ecosystem can employ to prepare for growing tourist volumes. They are most effective when coordinated across a broad set of stakeholders, including city governments, destination management organizations, hospitality companies, experience providers, transportation authorities, and airlines:

• Build and equip a tourism-ready workforce.
• Use data to manage and forecast visitor flows.
• Be deliberate about which tourist segments to attract.
• Distribute visitor footfall over space.
• Distribute visitor footfall over time.
• Be prepared for sudden, unexpected fluctuations.
• Preserve cultural and natural heritage.

Build and equip a tourism-ready workforce

Preparing a tourism workforce goes well beyond making sure that staff at a reception desk are polite. Tourism stakeholders should strive to ensure sufficient labor supply by fostering interest in the tourism sector, training entry-level workers in soft skills, and providing ample opportunities for career advancement. Training can be a collaborative effort by the public and private sectors.

Africa’s not-for-profit Female Guide program partners with leading safari providers to sponsor, train, and employ African women who are interested in conducting safari tours. 3 Sandra MacGregor, “I went on a safari in Botswana with a female guide—here’s why it made all the difference,” Travel + Leisure , December 23, 2023. The alcoholic-beverage company Diageo hosts training for hospitality students near Da Nang, a tourism hot spot in Vietnam, covering bar knowledge, teamwork, and customer service skills.

Regulating and credentialing locals who are part of informal tourism economies can help raise service standards and create more positive tourist experiences. For example, Singapore’s efforts to legalize and license street vending resulted in UNESCO recognition of its street hawker culture. 4 “Hawker culture in Singapore,” National Heritage Board, accessed May 2024.

Use data to manage visitor flows

Destinations can build and continuously improve holistic data monitoring and forecasting systems. Data can be gathered from governments (visa tracking), businesses (accommodation bookings and event ticket purchases), social media platforms (user behavior), and other sources. Crowd monitoring tools can provide real-time data about the location of mobile phones to help forecast and manage visitor flows.

Some destinations provide value in exchange for data. For instance, the I amsterdam City Card offers tourists access and discounts to attractions while tracking where the card is used (see sidebar “How Amsterdam handles its tourist flows”).

How Amsterdam handles its tourist flows

Geerte Udo was CEO of Amsterdam & Partners until earlier this year, when she stepped down after 17 years. Amsterdam & Partners is a public–private foundation that focuses, in part, on managing tourism in the Amsterdam metropolitan area. McKinsey spoke with Udo about Amsterdam’s efforts to handle its large tourist flows. The following is an edited version of the conversation.

McKinsey: How does Amsterdam balance the positive aspects of tourism with some of the challenges that hosting large numbers of visitors can create?

Geerte Udo: We’re very lucky in that we have a beautiful city that sells itself. People want to come here. And the visitor economy has a lot of benefits. It creates jobs, it pays taxes, and 30 percent of our public transport is financed by visitors. Our residents love the cultural infrastructure we have here, and we couldn’t support it by ourselves. We love the diversity and quality of our restaurants and bars, which are also supported by visitors. We need our visitors because they raise the quality of life for our residents.

But there are elements of the visitor economy that can harm the quality of life in the city. We’re seeing more and more visitors because the general income of people across the world is rising, and everybody wants to travel. Like other European cities that are old harbor cities with narrow streets, we have moments where we deal with overcrowding. This is mostly in the old city center, on a few narrow streets, at certain days and times. But the public space there isn’t well organized and can’t handle the number of people who want to go there.

Another issue we have is nuisance. Our city has a reputation: if you want to have a party, come to Amsterdam. It can be very annoying for residents in certain neighborhoods when visitors come to party from Thursday through Sunday evening. It makes it hard for people to live there.

There’s also an issue with managing the amount of waste in the city. Because we have more guests, there’s more waste in the street. And there’s a separate issue with private, short-term rental properties, which can sometimes crowd out housing that’s built for residents.

McKinsey: Are you able to gather data and use it to get insights that can help you handle tourist flows?

Geerte Udo: We have a lot of sources of data. At a European level, we share data with 110 European cities to see what the latest traveler trends are. We can learn from one another and understand, for instance, if a trend is only happening in the northern part of Europe or also in the southern part. More locally, we have a national data center that can tell us how many people visit the city, how long they stay, which countries they come from, their ages, and other factual information.

Our organization also does its own research on visitor behavior. For instance, we sell an I amsterdam City Card. It gives visitors free access to public transport, museums, and various attractions. We sell about 150,000 to 200,000 cards a year, and because people need to check in with our card at the locations, we can see their movement patterns. Over time, we’re able to anticipate when and where people will go. For instance, many people visit museums in the morning and then go on a canal boat ride in the afternoon. We can advise first-time visitors to reverse that order because they’re likely to have better, less crowded experiences that way.

But nudging people only works if you can connect to their needs. We wouldn’t tell a first-time visitor to venture out to a neighborhood that’s not well-known—we understand that if they’re here for the first time, they really want to see the highlights. Whereas if you’re here for the third time, and we know what you’ve been doing and a little bit about your preferences, we can guide you to other neighborhoods and areas we think you’ll enjoy.

We know from data that there’s a trend in behavior where, after 2.4 days, people are often ready to explore beyond the city. This number is similar in other cities, as well. After 2.4 days, people start to ask, “Can you show me where I can get some fresh air for a half day?” And we can then offer them guidance on visiting beaches, windmills, and so forth.

McKinsey: What are some mitigation strategies that you’ve tried or considered?

Geerte Udo: One thing we’ve put effort into is branding and marketing concepts. If people come to our city thinking that everything is in the canal district, it’s hard to guide them to other areas. So we’ve tried to build our image into much more than the canal district, expanding interest into other areas that all have different identities and different flavors.

There have been years of discussions about gating certain areas and charging fees to enter them. That might help generate revenue that the city can spend on cleaning streets and improving the subways, which would be beneficial for the tourism industry. But in my opinion, charging fees or raising tourist taxes won’t reduce visitor numbers at all.

We’ve spent a lot of time with city hall looking into the best ways to organize public spaces. For a long time, urban planning didn’t even take visitors into account when thinking about how to arrange public space. To truly manage visitor flows, there needs to be a bigger-picture, integrated approach to how a city is organized.

None of this will reduce the number of travelers because travel is growing so fast. But we can guide visitors to disperse them across time and space, minimize overcrowding, and put less pressure on the old city center. I think guiding and spreading tourism really can work if we manage to match supply and demand.

Comments and opinions expressed by interviewees are their own and do not represent or reflect the opinions, policies, or positions of McKinsey & Company or have its endorsement.

Be deliberate about which tourist segments to attract

Different tourists arrive with different kinds of baggage—literally and metaphorically. Destinations can be strategic in identifying the types of tourism they want to encourage. Some destinations might welcome (and be able to handle) party crowds, while others might be more interested in attracting families or older travelers. Destinations should work to understand the demographics, preferences, and behaviors of their target customers before tailoring offerings and communications that will appeal to them.

Bhutan requires a sustainable development fee of $100 per day from visitors. This requirement serves to limit the number of visitors and their impact on the small nation while simultaneously creating a sense of exclusivity that spurs increased interest from international travelers.

Distribute visitor footfall over space

Nudging tourists to visit less trafficked areas can help ease congestion at the most famous and popular attractions. This can work at a neighborhood level: pop-up experiences and off-the-beaten-path tours hosted by local guides can entice tourists to explore farther afield. It can also work on a wider geographic scale: TikTok’s “destination dupe” trend surfaces less expensive, less crowded locales that offer many of the same experiences as more crowded destinations (for instance, Taipei instead of Seoul).

Marketing campaigns can frame a destination as a place where visitors chart their own paths. The “I amsterdam” campaign, for example, encourages tourists to create their own personalized versions of the city. AI-powered tools can help craft bespoke itineraries based on visitors’ preferences and interests, matching travelers with unexpected neighborhoods, accommodations, and restaurants that will appeal to their individual tastes.

Developing accommodations and attractions in less dense areas by repurposing assets can also help distribute footfall. Istanbul helped facilitate the restoration of a 1930s tobacco factory and warehouse that became a hotel. The Maboneng Precinct in Johannesburg was a run-down cluster of warehouses before being repurposed to create art galleries, restaurants, and retail spaces.

Distribute visitor footfall over time

Seasonal concentration of tourist activities can cause inefficient use of infrastructure and overload destinations’ ecological, social, and cultural systems. Forty-three percent of travelers already choose to travel off-season to avoid overcrowding. 5 “How to travel: a look at sustainable travel habits,” Booking.com, October 3, 2023. Stakeholders can take steps to encourage even more shifting of visits to off-peak periods. Iceland, for instance, has heavily promoted winter visits to see the Northern Lights, drawing on collaboration across the entire tourism ecosystem—from tour operators developing ice cave excursions to airlines promoting reduced winter airfares.

Distributing visitors across hours is another powerful strategy. The Hanauma Bay Nature Preserve in Hawaii has timed reservations, which smooth visitor numbers across the day and enable a better experience for all. The Petra archaeological site in Jordan has taken a different approach: by creating an evening light and sound show, this popular attraction has expanded the breadth of attractive visitation times.

Because domestic travel represents the bulk of trips, governments might be able to help distribute visitors by carefully managing holiday schedules. For example, the French government has split school holidays so that different regions are on break at different times, which helps mitigate overcrowding during ski season.

Be prepared for sudden, unexpected fluctuations

A viral social media post can send travelers flocking to a destination that might not be prepared for the influx. One beautiful block in Brooklyn’s Dumbo neighborhood earned the nickname “selfie street” when visitors—having seen other tourists’ picturesque selfies on social media—flooded it with phones in hand. Footfall data shows that Dumbo saw an 86 percent increase in visits from 2022 to 2023.

In some instances, this type of behavior can cause significant harm. Access to the secluded Burney Falls waterfall in Northern California was shut down this year in part because of trail damage caused by heavy visitor flows. Data shows that interest in this photogenic spot took off on social media during the COVID-19 pandemic, with peak season in 2023 seeing three to four times as many weekly visitors as in 2019.

Destinations should keep tabs on social media activity and cultural trends that pertain to them. They might consider developing playbooks in advance with planned procedures for handling viral surges. Local tourism stakeholders can attempt to anticipate this type of sudden interest and actively channel it in ways that will mitigate negative impacts. It’s important to be mindful that virality can have different levels of staying power—ranging from a brief phenomenon to an enduring trend.

Preserve cultural and natural heritage

Destinations need to weigh considerations of both accessibility and preservation as they manage tourists’ engagement with natural and cultural attractions. One option is to designate culturally or ecologically significant land and then engage locals in finding ways to strike this balance. Legally protecting lands is a long-standing conservation practice, and governments have increasingly turned to Indigenous populations to better understand cultural sensitivities around specific sites. For example, Indigenous Tourism Alberta partners with Indigenous groups to offer tourists authentic experiences—such as fishing, jewelry making, and hiking—while minimizing negative impacts on nature and culture.

Although tourists often prefer to roam freely around natural sites, limiting access—either geographically or temporally—can be critical to preservation. Creating specific pathways (with showcases for educational material along the way) can allow guests to safely and efficiently walk through a site without causing damage or disturbing wildlife habitats. Sometimes a digital substitute can be an effective solution: Digital Giza lets tourists experience a re-creation of the Egyptian tombs without needing to actually enter them.

Sensitive areas can be closed for predetermined time periods to allow for rejuvenation and sustainable development. And naturally seasonal sites can take advantage of off-peak downtime to fully close and refresh attractions. For example, the Inca Trail in Peru shuts for one month every year during the rainy season to allow nature to recuperate from heavy footfall on the trail. Ideally, these downtimes should be established preventatively and communicated to tourists well in advance, but in some instances, they may need to be prescribed on short notice to prevent imminent damage or rectify harm already done.

As global travel continues to grow, it’s crucial for stakeholders in the tourism ecosystem to be ready for the challenges that could arrive alongside increased visitor flows. By understanding the risks and opportunities, implementing funding strategies, and collaborating across sectors, popular destinations can take steps to preserve their cultural, economic, and environmental assets.

Caroline Tufft is a senior partner in McKinsey’s London office, Margaux Constantin is a partner in the Dubai office, Matteo Pacca is a senior partner in the Paris office, Ryan Mann is a partner in the Chicago office, Ivan Gladstone is an associate partner in the Riyadh office, and Jasperina de Vries is an associate partner in the Amsterdam office.

The authors wish to thank Abdulhadi Alghamdi, Alessandra Powell, Alex Dichter, Cedric Tsai, Diane Vu, Elisa Wallwitz, Lily Miller, Maggie Coffey, Nadya Snezhkova, Nick Meronyk, Paulina Baum, Peimin Suo, Rebecca Stone, Sarah Fellay, Sarah Sahel, Sophia Wang, Steffen Fuchs, Steffen Köpke, Steve Saxon, and Urs Binggeli for their contributions to this article. The authors also wish to thank Mabrian for providing data.

This article was edited by Seth Stevenson, a senior editor in the New York office.

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7As and Promotion of Senior Tourism From Post-COVID Zero-Tourism to Senior Tourism

Damsi Dharmaratne and Prof.  DAC Suranga Silva

It is obvious fact that the world’s population is ageing ( https://www.un.org/en/sections/issues-depth/ageing/ , 2020). Virtually every country in the world is experiencing growth in the number and proportion of older persons in their population.

Population ageing is poised to become one of the most significant social transformations of the twenty-first century, with implications for nearly all sectors of society, including labour and financial markets, the demand for goods and services, such as housing, transportation and social protection, as well as family structures and intergenerational ties.

Older persons are increasingly seen as contributors to development, whose abilities to act for the betterment of themselves and their societies should be woven into policies and programmes at all levels. In the coming decades, many countries are likely to face fiscal and political pressures in relation to public systems of health care, pensions and social protections for a growing older population.

• By 2030 12% or approximately 1 billion of the world population will be over 65
• By 2050 the elderly population will increase to 22%.
• In developed countries the population over 60 is growing 2% annually and expected to increase by 58% in the next forty years. 
• In the developing countries, numbers have increased from 264 million in 2009 and forecasted to increase 416 million by 2050.
• In Sri Lanka by 2040 the percentage of elderly population would rise from 9.4% in 2015, 21%by 2045 to 35.6% by 2100.

Global Socio-Demographic Changes and Senior Tourism

Senior Tourism has been identified as one of the fast-growing niche market segments in global tourism despite the fact that the tourism industry in many countries in the region have not yet given much prominence for it. A significant number of senior persons in different parts of the world, more specifically in developed countries, have a growing tendency to travel in different parts of the world due to the push factors in their tourism demand: (1) Growing recreational income with increasing their financial and income capabilities, (2) Improving of their free and leisure time  (3) Increasing the life expectancy (4) Improving health facilities (5) Increasing number of Empty Nesters (6)  Seeking the tranquility and calmness life for senior citizens (7) Improving the wellness tourism (8)  Developing travel infrastructure and communication facilities and also some other socio-demographic push factors.

Characteristics of Senior Tourists:

• High-spending senior travelers represent a fast-growing market segment
• Majority of these travelers plan their travels at least one year before
• A significant proportion of these travelers look for unique experiences along with the main purpose of leisure travels
• Most preferred destinations are developed countries but a significant proportion of them seek novelty and heterogenous travel experiences in distant and developing countries. 
• Group Travelling
• Single Tour Agents                                                                                                           
• Warm Hospitality                                                       
•  Provision of Disabled Facilities
•  Curtesy and Caring
• Truth and Delivered with Warmth
• Freedom, Hassle Free Socializing Opportunities
• Soft Activity-Based Holidays
• Safety, Security
• Healthy Foods
• Choice of Sharing A Room with Same Gender
• Host-Community Contacts
• Tour Interpretation and Tourism Storytelling and Own Language Interpreters,
• Proper Tour Planning
• Evade Unexpected Changes
• Automated and Convenient Arrangements

Globalization and Senior Tourism:

The emergence of the trends in tourism has started with the concept of Globalization. With globalization the connectivity between nations occurred without considering the geographical distancing, the development of infrastructure, sharing of knowledge, travel of people around the globe and improvement of technology can be seen as the impact of it. This created the path for the people to travel from one destination to another and receive information and knowledge digitally.

Longer life expectancy and Senior Tourism:

It is visible that with the growth of year the life expectancy of the people increases. In 1900 the life expectancy level of people were 45 years and in 2019 it has increased to 80 years.

Impact on Health improvement and Senior Tourism:

Behind the prominent factors for the seniors to travel the long life and a better life can be highlighted. Senior tourists can be divided into two segments; healthy senior tourists and those who in need of medical treatments. Two third of people who are above 65 years have at least one of the chronic diseases; heart attacks, diabetes and 46% of the seniors have disabilities. With the aging factor their mental and physical stability starts to decrease. So, all of them are under medications though they travel. The seniors who require medical treatments look for them in other destinations. Majority prefers to take treatments combined with leisure. So, at the same time they have the ability to travel to popular tourists’ destinations and receive the medical treatments. Though the state is such the travelling of the senior tourists are growing due to the improvement of the medical and health facilities. They have the reassurance in the countries they travel about the quick and high-quality medical services. 

Wealthiness of the senior tourists is the major demarcating factor from the other sets of tourists.  Since they are retired and have no family commitments, they have enough money to spend on their vacations. Due to this reason they travel to other countries. 

The model of the leisure paradox implies how the elderly people have ample of free time when they get old. In promotion of senior tourism one main factor that helps with the high focus on this segment is the availability of time and the finances. As mentioned here the income of the seniors gradually decreases but that is due to the factor of them not earning. Since they are retired, they have the saving money to use for the travel purposes.                                                                                                                

Wealthiness and Wellness on Senior Tourism :

When people have more money only, they start to concentrate on their health and wellbeing. Just like that senior tourists who have enough money to spend concentrates a lot on their health factor. Health tourism can be divided into 3 sub sections; medical, therapeutic and wellness tourism. Sri Lanka having a strong background in the wellness tourism integrated with the ayurvedic tourism have a huge potential in catering to this segment. It is identified the tourists spend 53% more than the leisure tourists for this segment. Sri Lanka having a strong brand image for this segment has huge advantage in targeting this segment and increase revenue to the country.

7As and Promotion of Senior Tourism  

The demand for travelling and the motivational factors that drive them to travel will be determined by the 5 As; attractions, accessibility, amenities, activities and accommodation. In order for a tourists to visit a country all these reuquirements should be fulfilled. If any of the As’ are not available within the destination that the tourists want to travel, they won’t be travelling to that particular destination. Prior promoting an attraction or a destination it is mandatory to see the availability of the As’. Affordability can be considered as the 6 th A which is the most essential requirement to be fulfilled by the tourists. Tourists should be able to afford the entire tour in terms of accommodation charges, transportation charges, entrance fee etc. If the tourists are unable to cope up with the prices they won’t be travelling to that destination. By understanding the exceptional market; senior tourism another essential component that can be introduced is affection which is a significant variable. Care, affection, love are three important factors when it comes to elderly people. Wherever they travel to they seek for these elements. By looking at how the tourists destination take care of the senior tourists, how hospitable they are towards the senior tourists and by seeing through the manner how the services will be provided and how they will be taken care of them during their entire stay effect on the travel motivation and on the behavior of the senior tourists towards selecting a tourists destination.

With the emerging trends and the demand patterns in the new normal the Senior tourists will continue to travel. The international tourists will book their tours via formal travel agencies  and via online platforms. The main challenge that the tourists will go through is the health issues.

During this pandemic time the senior tourists who have chronical diseases will have a huge concern on because as it is found out by the World Health Organization the people who have chronical diseases have a high tendency of getting affected by the COVID- 19. According to the Centers for the Disease Control and Prevention there are approximately 85% of the senior people who have at least one chronic condition and 60% have two chronic conditions. The travelling to different destinations, out of their home would have a risk factor but the need and the motivation that drives them to travel in order to get rid of their monotonous lives is required. Apart from the seniors who travel and are suffering from chronic diseases the healthy senior travelers will have a risky point in travelling as well due to their low immunity levels and body strength to fight the virus. Normally when this segment travel, they have to undergo difficulties in acclimatizing during travel; facing to varieties of climate conditions of the country like the temperature, climate, humidity and altitude. With the aging factor their mental and physical stability starts to decrease. So, all of them are under medications though they travel. These occurrences have a huge negative consequence when the risk of virus come along with them. That is why it is said that there is a high tendency of this segment getting affected by the virus more than the others.

Global Best Practices in Promiting Senior Tourism

• Spain has initiated “Senior Travel 55+’’program promoting travelling in off season. As a part of the promotional strategy the Spanish government has subsidized the costs and have come up with a discounted pricing strategy. The main objectives to look at via this program are combatting the seasonality, generate more economic benefits to the country and have prolonged visitation to the country by the senior tourist.
• Poland has taken initiatives to make tourism appealing to senior tourist in their country. The country has an organization names “tourism against all the barriers” which work on making the product available for the customer. They highly believe that for a person to travel the aging factor is not a demarcation. The organization believe in that the older tourists will rejuvenate freshness energetic mindsets after being able to send time with nature.
• Poland has brought forward innovative measurements like Warmia Park Thermal Medical Center and “Forever Young Program” together understanding the demanding factor of the Senior tourists.
• South Africa is another country who has taken major steps in order to establish Senior tourism in their country. The pricing of the safaris over 60 years are given discounts in order to promote and increase visitation of them. The park resorts have the wheelchair arrangements
•  The Tourism Authority of Thailand (TAT) has implemented “Tourism for all” campaign and along with the World Integrity Centre (WIC) organized the “Amazing Thailand Golden Experience” in order to serve for the senior and disabled tourists. The campaign has introduced nine routes specially to serve them; Pattaya, Phuket, Bangkok, Ratchaburi, Chiangmai, Kanchanaburi, Khon Kaen, Ayutthaya and Nakhon Ratchasima.

KEY STRATEGIES TO PROMOTE SENIOR TOURISM IN SRI LANKA

• In order to bring senior tourists to Sri Lanka the principal thing that the destination should do is ensuring the health and safety of the country. The assurance can be provided by the implementation of the resilient strategies and policy measures which would be feasible for the senior tourists to travel in leisure. Due to the high-risk factor of health, precautionary measures can be taken from the stakeholders’ side.
•  Primarily the Sri Lanka Tourism Promotional Bureau (SLTPB) along with the other stakeholders have to ensure that the country is getting promoted among the senior tourists as a safe destination to travel. If the marketing and the promotional strategies would be successful only the senior tourists would be considered about travelling here.

• Extra care about the senior tourists could be taken starting from the airport itself.

• The tour guide can ensure the travelling safety en-route to accommodation and the accommodation units can also take extra measures about the senior tourists starting from the welcome drink they offer (making it a herbal drink that is good for the immunity system), include authentic traditional Sri Lankan food items to the buffet, introduce outdoor activities to make them active within the premises etc.

• The travelling agencies or the Destination Management Companies should be able to identify the current situation about the country and the risk factor for the senior tourists from it and ensure their safety before their arrival. The assurance can be given prior the arrival by them.
• The travelling agencies should have tailor made packages created especially for the senior tourists considering their demand factors. More weight should be given for the Ayurveda tourism, community-based tourism, cultural activities, agro tourism where they are able to maintain the social distancing assuring their safety and health and experience some authentic Sri Lanka lifestyles.

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Why You’ll Pay More and Behave Better When You Travel This Summer

From Barcelona to Bali, higher fees and new rules are targeting overtourism and unruly behavior. Some locals are worried the changes will keep tourists away.

By Paige McClanahan

A new tourist fee in Bali. Higher hotel taxes in Amsterdam and Paris. Stricter rules on public drinking in Milan and Majorca. Ahead of the summer travel season, leaders in many tourist spots have adopted measures to tame the tourist crowds — or at least earn more revenue from them.

All of this may pose headaches for travelers, although in most cases, the new fees or tax increases represent only a tiny fraction of the total cost of a trip. The goal is to ensure that tourism functions smoothly for visitors and locals alike, said Megan Epler Wood, managing director of the Sustainable Tourism Asset Management Program at Cornell University.

“All tourism is dependent on beautiful natural and cultural resources. You have to protect those resources in order to be a viable tourism destination — and if you don’t, they degrade,” Ms. Epler Wood said.

In some places, proposals for new fees or visitor rules have drawn opposition from residents, who fear they might scare away the tourists who bolster the local economy. But destinations need to find ways to counteract what Ms. Epler Wood calls “ the invisible burden ” of tourism, which includes strains on a community’s infrastructure, utilities and housing stock, as well as tourists’ carbon footprint and any challenges they might impose on residents’ daily lives.

“You put so much pressure on the place that the people who live there become unhappy, and then they don’t present a very good face to tourists,” Ms. Epler Wood said. “The longer you wait, the higher the cost to fix it.”

Here is a look at new measures that travelers can expect this summer, and where others might be coming in the future.

New visitor fees

Since February, visitors to the Indonesian island of Bali have been asked to pay a levy of 150,000 Indonesian rupiahs, or about $9.40 per visit. Revenue will be used to support the preservation of cultural and natural assets on the island, where tourism has brought major challenges related to litter, water supply and overcrowding. Visitors are encouraged to pay the new fee online before departure, although it’s also possible to pay on arrival at the airport.

Beginning Aug. 1, most foreign travelers to the Galápagos Islands — which had a record-breaking 330,000 visitors last year — must pay a $200 entry fee, double the current rate. The money raised will be used to support conservation, improve infrastructure and fund community programs.

The change is the first increase to the entry fee since it was introduced in 1998, said Tom O’Hara, communications manager for the Galápagos Conservation Trust . Mr. O’Hara noted that the increase comes a year after the UNESCO World Heritage Committee urged the government of Ecuador to work toward a “zero-growth model” for tourism in the Galápagos.

“It’s quite a complicated topic,” Mr. O’Hara said, noting that the fee increase has been viewed “as part of the solution to overtourism.” On the other hand, he added, “everyone is trying to reassure the local tourist industry that this isn’t going to kill tourism on the islands.

In April, Venice began imposing a fee — 5 euros, about $5.40 — on day-trippers visiting on peak days, with the goal of striking “a new balance between the tourists and residents.”

But the new Venice Access Fee has drawn criticism from residents. “This project is a disaster for us. We are a city, not a park,” said Matteo Secchi, the president of Venessia.com, an association of Venice residents. Mr. Secchi said that a communications campaign would have been more effective.

The possibility of a new tourist fee has also drawn local opposition in Hawaii, where Gov. Josh Green has proposed a “climate impact fee” for visitors to the state. The measure failed during a recent meeting of the State Legislature, but Governor Green has persisted in calling for visitors to help fund the state’s preparation for future climate shocks.

“We have to get this tiger by the tail,” he told journalists in May, adding that $25 per visitor could raise $250 million a year, which the state could use to guard against climate disasters, manage erosion, strengthen infrastructure and protect parks.

Hotel fees and other taxes get a bump

Hotel taxes, also known as occupancy or accommodation taxes, are widespread in the United States and Europe, where they were on the rise for a decade leading up to the pandemic. With tourism’s rebound to prepandemic levels, several destinations have increased or adjusted the tax to capture more revenue.

Like Hawaii, Greece — which also suffered severe wildfires last summer — is looking to steel itself against climate disasters, and the government wants tourists to help foot the bill. Greece is calling the charge a climate crisis resilience fee , and it will be collected by accommodation providers. The tax will be higher from March to October, when it will top out at €10 per night at five-star hotels. The rate drops from November to February, and for hotels with fewer stars. The fee replaces the previous hotel tax, which ranged from €0.50 to €4 per night.

In Amsterdam, the hotel tax, which was already one of the highest in Europe, rose to 12.5 percent from 7 percent on Jan. 1. City lawmakers have also raised the tax on cruise passengers to €14 from €11 per person per night.

The hotel tax in Barcelona also rose this year, increasing to €3.25 per night. The measure was the final step-up in a gradual increase that began before the pandemic. A spokesman for Barcelona City Hall said that further tax increases would be aimed at tourist rental apartments and cruises that make short stopovers, which contribute less to the city’s income. The spokesman also noted that revenue generated by the tourist tax is being used, among other things, to fund the installation of solar panels and air-conditioning in Barcelona’s public schools.

Ahead of this summer’s Olympic and Paralympic Games in Paris, lawmakers in the Île-de-France region have imposed a new tax, on top of the normal hotel levy. With the new tax, which will fund public transportation in the region, a guest in a five-star hotel now owes a total of €10.73 in tax per night stayed, while a stay in a two-star hotel incurs a tax of €3.25 per night.

Though the measure was adopted by the regional government, it was not supported by the leadership in Paris itself. A spokeswoman for Paris City Hall called the move “a democratic power grab” that “in no way benefits the city of Paris.” She noted that even with the funds generated by the new tax, the region still raised the price of tickets for public transportation in the city during the Olympics — a measure that has disgruntled many Paris residents.

Introducing new rules

In other tourist spots, the focus is on curbing behavior that pollutes the local environment or harms residents’ quality of life.

In Japan, authorities at Mount Fuji will cap visitors at 4,000 per day. They have also imposed a new fee of 2,000 yen (about $13) for access to the iconic summit. Elsewhere in the country, a community council in the Gion neighborhood of Kyoto has closed some small roads to tourists, after complaints that the area, home to the city’s geisha district, was suffering from crowds.

“We will ask tourists to refrain from entering narrow private streets in or after April,” Isokazu Ota, a leading member of the community council, told Agence-France Presse in March. “We don’t want to do this, but we’re desperate.”

A spokeswoman for the city’s tourism board described the road closures as “a local initiative,” adding that “neither Kyoto City nor the Kyoto City Tourism Association are aware of any details beyond what is reported in the media.”

Rowdy visitor behavior has been the target of new rules in Milan. In some areas, city leaders have banned outdoor seating after 12:30 a.m. during the week and 1:30 a.m. on the weekend in response to resident complaints. They have also limited the late-night sale of takeaway food and drinks.

And in certain areas on the Spanish Balearic Islands of Majorca and Ibiza that are overrun with drunk tourists, the government has imposed a ban on late-night sales of alcohol and the consumption of alcohol in the street. New restrictions have also been imposed on party boats in the same areas.

“Tourism has negative externalities that must be managed and minimized,” Marga Prohens, the president of the Balearic Islands, told a local gathering this month , according to The Majorca Daily Bulletin. Local tourism, she said, “cannot continue to grow in volume.”

Paige McClanahan, a regular contributor to the Travel section, is author of “The New Tourist: Waking Up to the Power and Perils of Travel,” forthcoming from Scribner on June 18.

Open Up Your World

Considering a trip, or just some armchair traveling here are some ideas..

52 Places:  Why do we travel? For food, culture, adventure, natural beauty? Our 2024 list has all those elements, and more .

The Alaska Highway:  On an epic road trip, a family plots a course from Alaska to the Lower 48, passing through some of Canada’s most spectacular scenery .

Minorca:  Spend 36 hours on this slow-paced Spanish island , which offers a quieter and wilder retreat than its more touristy neighbors.

Japan:  A new high-speed train stop unlocks Kaga, a destination for hot springs, nourishing food and traditional crafts , as an easy-to-reach getaway from Tokyo.

London:  The Victoria and Albert Museum is a treasure trove of art and design. Here’s one besotted visitor’s plan for taking it all in .

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As society progresses, the tourism sector, much like many other sectors, needs to transform to serve as a catalyst for prosperity at a universal scale. Enhancing the well-being of individuals, safeguarding the natural environment, stimulating economic advancement, and fostering international harmony are key goals that are the fundamental essence of UN Tourism. The organization takes on the role of driving a sustainable force that is now central to many economies

Executive Council - 121st session

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A new agreement would limit cruise passengers in Alaska’s capital. A critic says it falls short

FILE - Cruise ships are docked on June 9, 2023, in downtown Juneau, Alaska. A new agreement between Alaska’s capital city and major cruise lines seeks to cap the daily number of cruise ship passengers arriving in Juneau starting in 2026, but a critic of the cruise industry says the planned limits don’t go far enough. (AP Photo/Becky Bohrer, File)

FILE - Passengers stream off the Norwegian Bliss after the vessel arrived in Juneau, Alaska, April 25, 2022. A new agreement between Alaska’s capital city and major cruise lines seeks to cap the daily number of cruise ship passengers arriving in Juneau starting in 2026, but a critic of the cruise industry says the planned limits don’t go far enough. (AP Photo/Becky Bohrer, File)

FILE - A cruise ship sits docked near downtown Juneau, Alaska, Sunday, June 4, 2017. A new agreement between Alaska’s capital city and major cruise lines seeks to cap the daily number of cruise ship passengers arriving in Juneau starting in 2026, but a critic of the cruise industry says the planned limits don’t go far enough. (AP Photo/Becky Bohrer, File)

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JUNEAU, Alaska (AP) — A new agreement between Alaska’s capital city and major cruise lines seeks to cap the daily number of cruise ship passengers arriving in Juneau starting in 2026, though a prominent critic of the cruise industry said Tuesday the planned limits do not do enough.

The agreement, finalized late last week, seeks a daily limit of 16,000 cruise passengers Sundays through Fridays and 12,000 on Saturdays. However, officials said that doesn’t necessarily mean there will be that many people every day.

Cruise passengers numbers ramped up rapidly after two pandemic-stunted years, hitting a record of more than 1.6 million passengers in Juneau last year. That’s caused tension between businesses that rely on tourism and residents who are fed up with increased traffic, busy trails and the hum of helicopters ferrying visitors to glaciers.

Cruise seasons also have gotten longer, with the first boat this year arriving in Juneau in early April and the last set to arrive in late October. On peak days in the past, passenger numbers have totaled about two-thirds of Juneau’s population of roughly 32,000 people.

A daily limit of five large ships took effect with the current season, as part of a separate agreement signed last year.

Alexandra Pierce, Juneau’s visitor industry director, said Tuesday that the aim with the current agreement is to hold cruise passenger numbers roughly steady, in the 1.6 million range.

“The idea is that the agreement buys everybody time not only to see if it is sustainable but also to build the infrastructure that will help it feel more sustainable,” she said.

Pierce said she expects a number of projects will be completed in the next five years “that will help our current numbers feel less impactful.” She cited plans for a gondola at the city-owned ski area, updates to the downtown sea walk and increased visitor capacity at the popular Mendenhall Glacier Recreation Area .

The agreement, which was signed by the city manager and major cruise line executives, also calls for yearly meetings to “review lessons learned, to review and optimize the subsequent season’s operations, and align on community and industry parameters, goals, and opportunities.”

Pierce said city leaders are “trying to balance the needs of our residents, the needs of our economy, the needs of future opportunities for people to stay in our community.”

Karla Hart, a longtime critic of the industry, is skeptical of the new agreement, saying it doesn’t do enough to address concerns many residents have that current tourism levels are unsustainable.

“It feels like we’re just getting led along again, and expansion will continue and more time will pass” and impacts will continue, she said.

Hart is helping push a proposed local ballot initiative that would institute “ship free Saturdays,” with no cruise ships with a capacity of at least 250 passengers allowed to stop in Juneau on Saturdays or on July 4. The signature-review process for the proposed measure is underway. If the measure is certified, it could appear on the October ballot.

Renée Limoge Reeve, vice president of government and community relations for Cruise Lines International Association Alaska, a trade group, said initiatives “remove the opportunity for collaboration and discussion, and I think that that leaves a lot to be desired.”

She said the agreements with Juneau are the first such agreements the industry has signed in Alaska and underscore the cruise lines’ commitment “to being good partners in the communities that we visit.” Juneau and other southeast Alaska communities are popular stops on cruises that leave from Seattle or Vancouver. The much-smaller community of Sitka also has been grappling with the debate over tourism numbers.

Reeve and Pierce also participated Tuesday in a Greater Juneau Chamber of Commerce news conference to discuss the agreement.